FHA the loan of choice amongst majority of buyers

FHA has become the loan of choice. A high percentage of new purchase loans are being issued by FHA lenders.  The main reasons being they allow a lower fico score than conventional loans and the down payment is only 3.5%.  + The seller can contribute up to 5% towards closing costs. On the other hand […]

Home Loans with Zero or Very Low Down Payment

Learn How to Purchase a Home with Zero or Very Low Down Payment. Currently there are several home loan programs available for 1st time home buyers and move up buyer to purchase with zero or low down payment and market interest rates. These loans do not have pre-payment penalties so common in the sub-prime era. […]

FHA Loan Application Checklist

To get your FHA loan application off to the right start you will need to following documentation.  This will help your lender expedite the loan approval process. FHA purchase loans: Employment: Most recent 2 years tax returns with all schedules Most recent 2 years w-2’s, 1099’s and other Most recent paystubs for past 30 days […]

Upfront Mortgage Insurance Premium

UFMIP – Upfront Mortgage Insurance Premium is the insurance used to protect the lenders in the event of a mortgage default.   It is important to know how to calculate the UFMIP to arrive at your final loan amount and total monthly payment.  Learn how to calculate the maximum mortgage amount. FHA Refinance Loans – […]

Co-Borrowers & Co-Signers

FHA rules for Co-Borrowers and Co-Signers are important to understand before when pre-qualifying a borrower for an FHA mortgage. (see 4155-1 for complete explanation and rules) Borrowers, Co-Borrowers and Co-Signers. Borrowers and Co-borrowers take title to the property and are obligated on the mortgage note and must also sign the security instrument. The co-borrower’s income, […]

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