- April 10, 2019
- Posted by: Michael Meyer
- Category: Connecticut
FHA Mortgage Loan Overview
A federally insured home loan that is great for first time home buyers and repeat borrowers alike. An FHA Mortgage Loan can be used for purchases, refinancing, or streamline loans (no appraisal required if you already have an FHA Mortgage Loan).
FHA Home Loans are ideal for borrowers that do not have 20% to put down (the minimum required is 3.5% down). FHA Loans also have more lenient Debt-To-Income Ratio requirements and are a great mortgage option for borrowers with less than perfect credit.
Loan Term Options
With an FHA Mortgage Loan, you can choose terms of 30 years, 25 years, 20 years, or 15 years.
Benefits of an FHA Mortgage
- Once you have an FHA Loan you can streamline refinance for a lower rate (if you qualify) with no appraisal needed.
- Require less down than Conventional Mortgages.
- Traditionally, FHA loans allow for more buying power than Conventional Loans because of their leniency with Debt-To-Income Ratios.
- If you have had a bankruptcy, foreclosure, or a Deed in Lieu of your past – FHA Mortgages have options (after a period) to allow you to do a loan.
- Multi-Unit properties are allowed
- Competitive interest rates.
On purchases or refinances, FHA requires an appraisal that proves that there is no peeling paint, railings where needed, and that the house is in turn-key condition. If the property needs aspects of it repaired, then there is an option with the FHA 203K program. FHA Loans also require that the property be your primary residence.
At Northeast Financial, we specialize in FHA Mortgage Loan financing throughout the state of Connecticut. The pre-approval process is easy, and we will work with you every step of the way. Please call or email us today so we can discuss your options.
Residential Clients: Click Here For Application