FHA mortgages lenders offer many advantages and protections that only come with an FHA mortgage:
Lower Down Payment: FHA loans have a low 3.5% down payment and that money can come from a family member, employer or charitable organization as a gift. Conventional mortgage lenders do not allow this.
Easier to Qualify: Due to the FHA mortgage insurance FHA mortgage lenders may be more willing to give you better loan terms and easier credit qualifying requirements.
Bad Credit Options: You don’t have to have a perfect credit score to get an FHA mortgage. In fact, even if you have had credit problems, such as a bankruptcy, it’s easier for you to qualify for an FHA loan than a conventional loan. Also Check FHA minimum Credit Score requirements!
Lower Closing Cost Costs Less: FHA loans have competitive interest rates because the Federal government insures the loans. Always compare an FHA loan with other loan types.
Helps You Keep Your Home During Tough Times: The FHA has been around since 1934 and will continue to be here to protect you. Should you encounter hard times after buying your home, FHA has many options to help keep you in your home and avoid foreclosure.
The FHA insurance program does not provide direct financing nor does it set the FHA mortgage interest rates on the mortgages it insures. For the best interest rate and terms on a mortgage, you should compare mortgages from several different lenders. In order to initiate the loan application process, please contact an FHA approved lender.
FHA mortgage lenders may be used to purchase or refinance a new or existing 1-4 family home, a townhouse, villa, condominium unit or a manufactured housing unit provided you own the land.