Did you know that there is more to negotiate than the price of a home when you buy a home? You can also negotiate other things, such as closing costs with a seller. If you don’t have the cash lying around to cover up to 5% of the loan amount, you may need this help if you want to close the loan. Luckily, the FHA loan program does allow sellers to help with closing costs. Looking for Current Mortgage Interest Rates? Click Here. Keep reading to find out what closing costs a seller can … [Read more...]
What Does the FHA 203 (K) Consultant Do?
If you are in the market to buy a rehab home with the FHA 203K loan, you’ll need to hire a 203K consultant. Yes, it’s another service that you must pay for, but the 203K consultant is there to make the process easier for you. The FHA 203K loan is a long process that requires a lot of paperwork and has many checks and balances. Having that neutral third party there to help you through the process can be a great thing. Looking for Current Mortgage Interest Rates? Click Here. Keep reading to … [Read more...]
What do you Need to do to Prepare for the FHA Streamline Application?
If there’s one thing that anyone can say about the FHA streamline application, is that it’s fast and simple! The streamline program is only for borrowers that currently have an FHA loan and that simply want to refinance to lower their rate or change their loan in a beneficial way. You can’t take money out of your home’s equity and you don’t have to verify very much information, so the application process is simplified. Looking for Current Mortgage Interest Rates? Click Here. Completing the … [Read more...]
Does the Seller Have to Pay for FHA Repairs?
Sellers used to shudder at the thought of an FHA loan. They often knew that the FHA would make them make repairs to the home before the buyer could close on it. Fast forward to today and the FHA still has property requirements that each property must meet, but the seller isn’t required to cover the cost of those repairs. If you’ve avoided FHA loans for this very reason, you’ll want to keep reading to learn more. Looking for Current Mortgage Interest Rates? Click Here. The FHA Minimum … [Read more...]
Do you Need a lot of Equity to Refinance?
If you have equity in your home, you may consider refinancing. Do you need a certain amount of equity, though? Compare Offers from Several Mortgage Lenders. Each lender and loan program is different. Some loan programs require a lot of equity, while others don’t require as much. Keep reading to find out how much you might need as well as how you can qualify for the refinance. The Difference Between Equity and LTV You may think that if you have equity in your home that you can refinance … [Read more...]
What’s the Minimum Waiting Period for a FHA Streamline Refinance?
The FHA streamline refinance makes it easy for current FHA loan holders to refinance their loan. All you have to do is provide proof that you can make your current mortgage payments on time and that you benefit from the refinance. If you pass these two tests, you can usually refinance your FHA loan with little documentation. Get Matched with a Lender, Click Here. Before you jump headfirst at the first opportunity to lower your interest rate, though, you should know that you have to wait at … [Read more...]
How Long Does Mortgage Insurance Last on FHA Loans?
If you take out an FHA loan, you will pay mortgage insurance no matter how much money you put down. The FHA requires at least a 3.5% down payment, but unlike conventional loans, even if you put 20% down, you will still pay mortgage insurance. Get Matched with a Lender, Click Here. But how long must you pay the insurance? When FHA Mortgage Insurance Ends Unfortunately, FHA mortgage insurance never ends unless you pay the loan off in full. In other words, you pay mortgage insurance premium … [Read more...]
What is an FHA 203(b) Loan?
If you want FHA financing, you likely hear a multitude of letters being thrown around. One such name is the FHA 203(b). This is the standard FHA loan, just with a fancier name. Keep reading to learn more about this important loan that has helped millions of borrowers become homeowners. Get Matched with a Lender, Click Here. The FHA 203(b) Loan Defined The FHA 203(b) loan is your standard FHA loan. Any borrower that can meet the FHA guidelines can apply for this loan. It’s synonymous with … [Read more...]
2018 FHA Loan Limits – How do they Affect You?
The FHA Loan provides you with funds to purchase or refinance your home with very easy to meet guidelines. The FHA has lower credit score guidelines as well as less stringent debt ratio and income guidelines for borrowers. This is one of the main reasons many people referred to the FHA loan as the first-time homebuyer’s loan. Today, people from all walks of life use this loan to purchase and refinance their home. Because of the meaning behind the FHA program, however, to help people that are a … [Read more...]
What are the FHA Rules Regarding Property Flipping?
Property flipping occurs when someone buys a home for a low price, fixes it up, and sells it for a much higher price. While it sounds like a great way to make money, it’s frowned upon in the mortgage industry. In fact, the FHA does not allow the purchase of certain flipped homes. Looking for Current Mortgage Interest Rates? Click Here. We discuss the circumstances below. What Does the FHA Consider Property Flipping? The FHA’s rules are very clear. If a current owner owned the home for … [Read more...]