For many people, the thought of purchasing a home is scary. You’ll be taking the plunge and committing to a payment for a number of years, and you’ll be required to come up with a 20 percent down payment.
At least that’s what most people think. That 20 percent can make someone quickly rethink their decision of homeownership.
When speaking to a lender, you’ll find that there are options available that can help purchase a home without that huge down payment. It’s called the FHA loan.
FHA loans are very popular because they require smaller down payments and help lenders through an easier underwriting process. While the FHA does not fund the loan, they do guarantee the loan for the lender.
Another advantage of those considering an FHA loan is the ability to obtain the loan with a FICO credit score as low as 500.
All lenders do not follow these guidelines, but there are some available that can, and will to help the borrower. Knowing all the requirements of an FHA loan can help allay fears for the potential homebuyer. Check out CarSite for getting Used Cars OR Renting & Leasing
The key is working with a lender that has a good performance in their eligibility requirements, product offerings, interest rates, closing costs and most of all, customer satisfaction.
The ultimate goal is finding a lender that meets your needs and works to help you attain the loan.
For more information on FHA loans and how you can obtain one to become a homeowner, contact the team at Mortgage Investors Group and see how they can assist you today.