The Federal Housing Administration began as a way to increase homeownership. Today, they’re still insuring millions of mortgages each year.
FHA Home Loans in Ponte Vedra Beach
Using an FHA home loans in Ponte Vedra Beach can make it easier to qualify for a mortgage. To get one, you only have to put down 3.5% of the purchase value. Plus, they’ve implemented policies to make FHA loans more affordable as well. FHA loans have lower mortgage insurance premiums and lower down payment requirements.
FHA Loan Requirements
For most borrowers, the FHA requires a minimum credit score of 580. If your score is lower than that, your down payment requirements are higher. They’ll still insure mortgages if you have a credit score over 500 as long as you’ve put down 10%.
Compared to conventional mortgages, their requirements are still very lenient. Most lenders won’t give anyone a mortgage unless they’ve maintained a score over 620. Even then, they’ve still required down payments of 20% or more, usually.
FHA Loan Limits
The FHA only covers mortgages if the borrower has a DTI under 42%. If it’s above that, you won’t qualify for FHA approval.
Also, FHA mortgages can’t be used to buy any home you’d like. Homes must meet strict criteria for you to buy them using an FHA loan. So, you’ll have to work with an FHA-approved appraiser.
Typically, you can borrow up to 115% of the median home price in the county where you’re buying.
Contact Us for More Information
The Mortgage Lady Team – Fairway Independent Mortgage Corp offers a variety of FHA loan options in Ponte Vedra Beach. Visit us at our website at https://themortgageladyteamfairway.com to learn more info.
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