For first-time home buyers or those still building their credit, an FHA loan can mean that you’re able to get into the home of your dreams earlier than you thought possible. The FHA-insured loan program was started to protect lenders from those who defaulted on their mortgage, while also opening the housing marketing to individuals that may feel that they’re not able to purchase a home.
FHA-insured loans serves buyers at 2 different levels. For those with a 580 credit score or better, you can get into your home with a 3.5% down-payment. Those who have a credit score between 500-579 can also get a home with a 10% down payment. Many private lenders will not approve loans without a score of 620 or above, so obtaining an FHA loan can be the key to owning your own home.
Curious if this is a viable option for you? Contact us, today!