My Real Estate Blog

Over half of the closed loans during the month of February used FHA financing. If you’re not an expert on all of “nooks and crannies” of FHA financing.......

1. Just 3.5% down…next to VA, that is, by far, the cheapest down-payment out there

2. Any/all of that down-payment can be a gift from a family member, if being short on cash is the issue, get a gift

3. The seller can pay any/all closing costs, up to a maximum of 6% of the sales price

4. Flexible credit guidelines…if credit is the issue, FHA is the way to go: scores as low as 580 still have a shot at loan approval

5. Co-borrowers are allowed…if income is the issue, add a co-borrower (or two…or three) until the numbers “work”

6. Loan amounts as high as $729,750…even with just 3.5% down…FHA is not just for low-end properties anymore

7. Very flexible qualifying ratios…particularly if you have good credit, FHA will really stretch your qualifying ratios

8. A safe, traditional fixed rate mortgage…that is music to the ears of every buyer out there nowadays

9. FHA loans are assumable…we kinda’ forgot about that…but…when rates go back up, at some point, to 6.50%, how sweet will it be to offer an assumption at 4.75%???

10. If you use a reputable, direct lender…and that’s a big “if”…an FHA loan can be knocked-out as quickly as 10-14 days.