FHA loans

An FHA loan is insured by the Federal Housing Administration, a federal agency within the U.S. Department of Housing and Urban Development (HUD). The FHA does not loan money to borrowers, rather, it provides lenders protection through mortgage insurance (MIP) in case the borrower defaults on his or her loan obligations. Available to all buyers, FHA loan programs are designed to help creditworthy low-income and moderate-income families who do not meet requirements for conventional loans.

FHA loan programs are particularly beneficial to those buyers with less available cash. The rates on FHA loans are generally market rates, while down payment requirements are lower than for conventional loans.

Some of the other benefits of FHA financing:

• Only a 3.5% down payment is required.
• Closing costs can be paid by the seller.
• Lower monthly mortgage insurance premiums and, under certain conditions, automatic cancellation of the premium.
• More flexible underwriting criteria than conventional loans
• FHA limits the amount lenders can charge for some closing cost fees (e.g. the origination fee can be no more than 1% of mortgage).
• Loans are assumable to qualified buyers.
• 203k FHA loans allow you to buy a home and finance the repairs that are needed.
• $100 down payment when purchasing HUD Foreclosures

FHA Mortgages are changing, for more Information Checkout:

You Need to Refinance Your FHA Mortgage Before Oct. 4th

FHA Monthly Mortgage Insurance is Increasing

If you are buying a home in Harris County, Brazoria County, Fort Bend County, Montgomery County or any part of Texas call me today to find out why a FHA loan maybe best for you.