FHA LOANS ARE A PERFECT SOLUTION FOR MANY WANNA BE HOME BUYERS! LET'S TAKE THE MYSTERY OUT OF FHA!
Posted
by
on Tuesday, July 15th, 2014 at 12:42pm.
If you would want to obtain a home you can call your own, you can do so through a FHA loan. FHA loan is among the many types of mortgage loans. It is a good option, but what are some of the important things that you should know about it? Read on.
FHA Loan Benefits
There are two main benefits when it comes to a FHA loan and these are as follows:
- Lower down payment – among the most common problems when obtaining a home through a mortgage is the down payment. Many people just don’t have enough money to pay the amount required as a down payment. The good thing is, this will not be an issue if you will go for a FHA loan. This loan requires a down payment of 3.5% only and this is relatively lower compared to the down payment required by a conventional loan which can go as high as 15-20%.
- Lower credit score – when you are to apply for another loan, you will only qualify when you have a high credit score. Credit score is an important factor and it is being checked by all mortgage companies. However, with a FHA loan, you can qualify even if you have lower credit score.
Qualifications
So, how can you qualify for this type of loan? Applying and qualifying for this is pretty simple. You simply need to have a steady source of income for a minimum of 3 years. It should also be your first time to acquire a home and lastly, you should be able to pay the down paymentrequired.
Documents Needed
For your application to be approved, there are necessary documents that you should present first. These are the following:
- Past and present address
- Work addresses including the name of companies
- W-2 Tax form
- IRS Tax returns
- A copy of your gross income on a monthly basis
Things to Do Once Qualified
Once you have been approved of your FHA loan application, you can then enjoy the following:
- Lower monthly payments, hence the chance to save money
- The chance to repair or remodel your house
- The chance to get your dream home
Knowing the basics of FHA loan is very important before deciding to apply for it. Of course, it is also wise to consult a professional when you have a question in mind.Click here to find out MORE!
Leave a Comment
Information source: Information and Real Estate Services, LLC. Provided for limited non-commercial use only under IRES Rules. © Copyright IRES.
Information is provided exclusively for consumers' personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.
Information deemed reliable but not guaranteed by the MLS.
Listing information last updated on December 10th, 2019 at 8:34am MST.
Terms and Conditions: The content relating to real estate for sale in this Web site comes in part from the Internet Data eXchange ("IDX") program of METROLIST, INC., DBA RECOLORADO® Real estate listings held by brokers other than Kenna Real Estate are marked with the IDX Logo. This information is being provided for the consumers personal, non-commercial use and may not be used for any other purpose. All information subject to change and should be independently verified.
Copyright 2019 METROLIST, INC., DBA RECOLORADO® -- All Rights Reserved 6455 S. Yosemite St., Suite 500 Greenwood Village, CO 80111 USA
Listing information last updated on December 10th, 2019 at 8:23am MST.