If you are considering home buying or refinancing it makes sense to start with a FHA mortgage application because there is no cost to apply and no fees charged to pre-qualify for FHA home loans from HUD-approved lenders online. The Department of Housing and Urban Development recently eased requirements for government insured house financing, so getting approved for a FHA loan may be in your future.
Get a Pre-Approval Letter for Free from Trusted Lenders on FHA Loan Applications
Many realtors, banks and lenders have been reporting a surge in FHA loan applications for home buying across the nation. Many people renting want to become homeowners but they to assistance on how to complete a FHA home loan application online.
BD Nationwide has over nearly 15 years of experience matching first time house buyers with competitive FHA lenders.
- Compare Multiple Quotes with No Up-Front Fees or Closing Costs
- Get Help on Finding Out Where to Apply for a FHA Loan Application Online
- Find the Easy path to complete an FHA Loan application & Get the Best Results
Whether you seek FHA lending because you have a low fico score or a limited ability to make a significant down-payment, we have experienced lenders to help you with an application for FHA mortgage programs.
Find Out If You Qualify for a No Cost FHA Loan Today!
The fact is that buying a house can be a stressful time, so finding a lending partner that you can trust is important.
That is why most realtors agree that it is critical to get a pre-qualification or pre-approval letter from a finance company that is respected and well-known for processing FHA loan applications online.
Gaining clarity on your options can steer you towards applying for a FHA loan that aligns best with your requirements.
Whether you’re a first-time homebuyer or considering refinancing, there’s probably an FHA loan that suits your financial needs as well.
A recent NAR survey revealed that most sellers strongly consider offers that come from buyers that are pre-qualified by a lender with a “good reputation.”
That’s why shopping for home buyers’ loans with BD Nationwide makes sense because of our strong alliance with competitive and experienced FHA lenders.
Top 3 Reasons to Submit a FHA Loan Application Online
1. Competitive Rates: The Federal Housing Administration has always made efforts to insure mortgages that feature low and affordable FHA interest rates. The FHA was founded upon the principles of “fair Lending” and HUD believes that competitive pricing is essential. Apply for a FHA loan online today and see if the proposed loan quotes put you in a better position financially.
2. Credit: To put it simply, FHA takes risks by keeping the minimum credit score at 500. This allows people with less than perfect credit to become a homeowner even if they don’t have fico scores the banks are looking for. See FHA loans for poor credit.
3. Low Fees and No Penalties: The FHA encourages mortgage companies to originate FHA home loans that have low fees and closing costs. They also prohibit lenders to charge pre-payment penalties. Submit a FHA loan application online today and you will appreciate the fair practices and cost-effective nature of government lending.
Here are the Basic Steps involved in Applying for an No Fee FHA Loan Application:
— Establish that you have had two years of employment with steady or increasing income.
— Achieve a credit score of at least 500. Those with 580-620 may qualify for more benefits.
— Be sure you are buying a property for “primary residence” purposes; others do not count!
Before you complete a FHA loan application, it is important for you to know that you have met these requirements. Then you will be ready to meet with a mortgage advisor that is approved for HUD financing in your area.
The professionals you work with will lead you through the process of signing up for insurance required by the FHA program, help you document income, and apply for a FHA loan from a government approved lending source.
Why Americans Apply for FHA Loans with Enthusiasm
These loans, backed by the government, generally feature lower interest rates and necessitate a minimal down payment, typically only 3.5%. FHA loan limits allow borrowing up to $472,030 in most areas and up to $1,089,300 in high-cost counties.
Due to easy FHA loan qualification requirements, this mortgage program proves to be an excellent choice for first-time home buyers and homeowners with below-average credit scores.
To qualify, specific eligibility criteria must be met, including a 3.5% minimum down payment, although some FHA lenders approved lower credit scores for FHA loans.
- Learn how to apply for a FHA loan and get approved
- Apply for FHA home loan programs for the best rate
- Get prequalified for FHA loan with no points
Following this, you can easily pre-qualify online within minutes. Subsequently, it involves selecting a loan with suitable terms, completing the FHA loan application, finalizing your offer, and ultimately closing the loan quickly and cost effectively.
The approval timeline for FHA loan applications can vary from a few weeks to a few months. This FHA loan processing timeline varies upon how skilled your FHA lender is and how quickly you get the loan officer and underwriter the documentation they request.
The FHA loan application starts from the moment you apply. The approval time fluctuates for each borrower and relies on factors like the borrower’s financial status and the FHA loan amount.
What Credit Score Is Required to get Approved an FHA Loan?
In most cases, to qualify for an FHA home loan, you need a minimum credit score of 580 for a loan with a 3.5% down payment and a minimum score of 500 with a 10% down payment. However, many FHA lenders require credit scores of at least 620.
FHA loans have historically assisted low- to moderate-income families in achieving homeownership, which is why they offer a low down payment option. They also tend to have more lenient credit score requirements compared to the minimum 620 FICO score typically needed for many conventional home loans. For example, to qualify for an FHA loan with a 3.5% down payment, you’ll need a minimum FICO credit score of 580. I
f your credit score is between 500 and 579, there are still a few lending companies that approve FHA loans for low credit if you are willing to make a higher down payment of 10% of the purchase price.
Are Closing Costs Included in the Down Payment with FHA Loans?
The Federal Housing Administration regulations specify restrictions on how borrowers can pay for closing costs. FHA has made it clear that FHA closing costs cannot be included as part of the minimum down payment required for an FHA loan. These costs do not contribute to the 3.5% FHA down payment requirement and are treated separately from the down payment.
There is never an application fee to apply for an FHA mortgage, whether you are buying or refinancing.
If you wish to include closing costs and lending fees in your FHA loan, we suggest you discuss your eligibility and requirements with your loan officer.
Understanding the process of applying for an FHA loan equips you with valuable insights, empowering you to make informed decisions. This knowledge enables you to choose the mortgage that best suits your needs and facilitates your journey toward affordable homeownership.
