An FHA home loan is a flexible mortgage program offered by a participating lender like Cherry Creek Mortgage, Inc. FHA home loans are insured by the Federal Housing Administration (FHA), which is part of the U.S. Department of Housing and Urban Development (HUD).
Because the FHA insures the loan, Cherry Creek Mortgage, Inc. can offer you financing with advantages like:
Note that FHA loans require mortgage insurance to protect lenders against losses that result from defaults on home mortgages. You’ll be able to finance the upfront mortgage insurance premium into your loan. You will also be responsible for paying an annual premium.
When you apply for your loan, the underwriter will consider your income, assets, liabilities and credit history. Don’t worry — having less than perfect credit is not a barrier to qualification. To be eligible for an FHA home loan, you must also meet the following criteria:
An FHA home loan may be used to purchase or refinance:
Cherry Creek Mortgage, Inc. is an FHA Approved Lending Institution and is not acting on behalf of or at the direction of HUD/FHA or the Federal government. Guidelines subject to change without notice.
Thinking about buying your first home? An FHA loan may be just what you need. These mortgages benefit first-time homebuyers in that you can have a non-occupant like a parent or relative be a co-applicant the loan with you. Your down payment can be as low as 3.5% of the purchase price, and closing costs and fees can be included in the loan.
In addition to low upfront out-of-pocket requirements, the FHA also offers the 203(k) home loan. This program allows you to buy a home and finance qualifying improvements or repairs. It’s available in two forms: