FHA Mortgage: Not Just for First Time Buyers
Is it your first time buying a home? Or, are you buying your second or third home but do not have a large down payment saved due to the decline in real estate values? An FHA (Federal Housing Administration) mortgage loan may be the right choice for you.
Regardless if you are a first time home buyer or not, your first step when considering the purchase of a new home should always be getting pre-approved for a home loan. And getting approved for an FHA loan may benefit you as a first time home buyer for various reasons. FHA loans require smaller down payments than conventional – typically only 3.5% of the sales price. Also, FHA mortgages allow all of that down payment to be a gift from a family member.
Also, getting approved for an FHA mortgage loan is easier than getting approved for a conventional mortgage loan. While you do not need perfect credit to qualify for an FHA loan, you should have a relatively strong credit history. Although FHA will permit lower credit scores, most banks require a score of 640 or higher, even for FHA loans. In addition, you should have two years of table earnings, preferable from the same employer.
Whether it is your first time buying a home, you have less than perfect credit history or you don’t have the finances to make a large down payment, an FHA loan could be the right choice for you. United Home Loans provides FHA mortgage loans in Illinois, Indiana, Michigan, Minnesota and Wisconsin.
United Home Loans provides Illinois mortgage loans in addition to mortgages in Indiana, Michigan, Minnesota and Wisconsin. Contact us below or call 708-531-8388 for more info on FHA Loans.