FHA Loans

FHA loans are insured by the Federal Housing Administration and originated by approved lenders. The insurance lets lenders work with credit and down-payment profiles that a conventional investor may decline, in exchange for mortgage insurance premiums built into the loan.

• First-time buyers and buyers rebuilding credit
• Buyers with limited funds available for a down payment
• Borrowers whose debt-to-income sits above conventional comfort levels

• Qualifying standards are typically more flexible than comparable conventional guidelines
• Gift funds from eligible sources may be permitted toward the down payment
• Streamlined refinance options may be available to existing FHA borrowers

• Mortgage insurance premiums apply and, depending on the structure, may remain for the life of the loan
• Loan amounts are capped by county and change over time
• The property must meet FHA condition standards, which can affect some listings
• Occupancy requirements apply

These are the factors an underwriter typically reviews. They are not a checklist of requirements, and meeting them does not guarantee eligibility or approval.

• Credit profile reviewed against current FHA and lender overlay guidelines
• Documentable income and employment history
• Debt-to-income within program limits
• Owner-occupancy of the subject property
• An eligible property that satisfies FHA appraisal requirements

• Monthly payment estimator
• Home affordability estimator