Minimum Down Payment: 3.50% which can come as a “gift” from approved sources
Up Front MI of: 1.75%, can be added to Loan
Monthly MI of: .85%
Maximum Loan Amount SFR: Loan amounts are set by counties. In many northern California counties, the limit is $474,950. Loan amounts above $417,000 have additional costs and or rate increases. In the San Francisco Bay Area, FHA loan limits are as high as $625,500.
Maximum Seller Concession: 6%
Minimum FHA FICO requirement without additional down payment requirements is 580…but most companies require at least 620.
Refinancing is allowed, at high loan to value ratios
Both Fixed-Rate and Adjustable-Rate loans permitted
Roof & Pest inspections not mandatory unless noted by appraiser or called for in contract
No Income Limits
Do not have to be a first-time buyer
Must be owner occupied
No requirement for reserves when purchasing a single family dwelling.
Non-Occupying co-borrowers allowed
Can utilize other state, county and city programs, and Energy Efficient Mortgage options
FHA requires 90 days from date of trustee sale before purchase contract can be written unless REO is a federally chartered bank
FHA Loans are Assumable
FHA 203(k) Streamlined
The 203(k) Rehabilitation Loan provides funds for both the purchase of the property and the costs of its rehabilitation.
1 to 4 Units / Refinance and Purchase Transactions
Threshold for rehabilitation work is at least $5000.
Streamline 203(k) available for smaller Non-structural work
Rehab work funds are escrowed and dispersed upon inspection
One of the only 100% LTV programs around. No down payment required
Loan amounts above $417,000 require a downpayment
Must have DD214 with honorable discharge
Must be owner occupied
Bankruptcy and foreclosures do not necessarily eliminate veteran from qualifying– looking for 2 years in most cases
No cash reserves required
Reverse mortgages are loans offered to homeowners who are 62 or older who have equity in their homes. The loan programs allow borrowers to defer payment on the loans until they pass away, sell the home, or move out. Homeowners, however, remain responsible for the payment of taxes, insurance, maintenance, and other items. Nonpayment of these items can lead to a default under the loan terms and ultimate loss of the home. FHA insured reverse mortgages have an up front and ongoing cost; ask your loan officer for details. These materials are not from, nor approved by HUD, FHA, or any governing agency.