• Federal Housing Administration - FHA Loans

    We offer FHA loans down to a 600 credit score on FHA.  Desktop Underwriter will determine the approval status which is an AUS - automated underwriting system.  There is an opportunity for a Manuel Underwrite if necessary which is a more stringent style of underwriting.  Our debt to income ratios can go up to 57% which is likely higher than most banks and other lenders.  FHA does have a up front funding fee called UFMIP as well as PMI which is known as mortgage insurance for the life of the loan.

    Here is a great link if you are trying to find a condo that is approved for FHA loans. 

    Condos - Click here for FHA approved condos: https://entp.hud.gov/idapp/html/condlook.cfm

    Down Payment - FHA Loans require 3.5% down and have a funding fee as well as county loan limits around $340,000 (depending on your county) and funding fees are 1.75% of the loan amount.  There is also PMI which is monthly mortgage insurance the factor is .80 or .85 depending on credit score and down payment this can be adjusted a little bit.  PMI is for the life of the loan and can be refinanced later on into a conventional if credit or other issues improve.

    Credit Score Driven:  

    580-600 credit scores are closable.  This type of file will require more assets such as a substantial amount of their own funds in a checking, savings or 401K.  A long term work history at one place of employment is always helpful and 12 clean months of on time payments.  These scores are not favorable to close but can be done if direction is followed.

    600-620 credits are also closable and better than under 600.  This is the same as above in terms of 12 clean months and employment history.  More assets from your own funds will always help get an approval easier.

    620-800 credit scores are best for FHA loans.  There is virtually uncapped debt to income ratios on this option with a 620 plus credit score and high likelihood approval of anyone so long as there is a 12 month clean credit history and no major issues that require waiting time line requirements for purchase again.

    Please consult the use of a Loan Calculator or Mortgage Calculator or call us at 904.513.800 for help with that and for more information about mortgage rates.  We will discuss interest rates over the phone and can work with a mortgage payment calculator if you don't have one.