Financing: FHA Loans

FHA loans are very widely used by many families when purchasing and building a new home. The Federal Housing Administration (FHA) insures these government backed loans. That doesn’t mean you get to keep the home if you stop making your monthly investments, but it does mean that institutional investors who purchase FHA loans from lenders have a little assurance that they are investing in a strong product with less risk of loss. What does this all mean to you?
Some of the features and benefits of obtaining an FHA loan include:

  • –¬†Perfect credit is not necessary to qualify
  • – There is only a 3.5% initial investment required from the borrower (that’s low!)
  • – There is an upfront MIP (mortgage insurance premium at closing) to help fund the government program included in the loan amount
  • – There is a monthly PMI (private mortgage insurance) included in your monthly investment to insure the loan
  • – Homes up to about $271,000 can be obtained to purchase and build your new home (this amount changes from time to time)

An FHA loan is an excellent mortgage vehicle to help you buy and build the new home of your dreams. Find out more today. Call or text (863) 640-2246 now or submit a FREE online pre-qualification form.