When do you plan to get a home of your own? If you are thinking about buying or constructing your family home, now is the best time to do it! You are making the right decision. Do not delay. Realizing your dreams earlier than your expected timeline is such a life achievement. You can make this happen by being resourceful in looking for people or parties who will help you in this matter. There are actually various loan programs that can address your needs and are suited to your own reality.
FHA mortgage loan is one of the loan programs that you can check out if you are in this stage of your life. These are loan programs that are insured by the Federal Housing Administration. In this article, you’ll discover why FHA home loans are really good for you.
Advantages of FHA Home Loans
Here are the advantages that will prove why FHA home loans are good for you:
1. Low Down Payment
If you are going to avail of an FHA loan, you will only need between 3.5% to 10% down payment, depending on your credit score. A high credit score would usually mean low down payment. Since the down payment is affordable, you can have your brand new home right away.
2. Low Credit Score Requirement
FHA loans only require a credit score as low as 580 to qualify for 3.5% down payment. Of course, mortgage lenders will look at other factors and make sure you meet some of them, but this means that if you have no or little credit history, getting approved for an FHA loan will not be difficult on your part.
3. Lenient Debt-to-Income Requirement
In case you have existing loans and you resort to having an FHA home loan, this will not be a big deal. The debt-to-income ratio needed for FHA loans is 55%. With this, qualifying for this loan program will not be a problem even if you have other existing loans.
4. Low-Interest Rate
Compared to conventional mortgage loans, FHA loans offer better rates, and this makes them more competitive. If you are looking for a home loan with low-interest rates, FHA is the best one for you.
The Next Step
If you feel that an FHA-insured loan is good for you, the next step that you need to do right now is to search the internet and look for the best FHA home loan lender near you. You can get pre-approved in minutes and even find great mortgage offers that will surely excite you to live in your own home.
Indeed, FHA home loans are among the best options for first time home buyers. With their advantages over conventional loan programs, FHA home loans offer you friendly qualification guidelines and so if you have made up your mind about building or buying a new family home, reach out to the nearest FHA mortgage lender in your area.