FHA LOANS

Affordable Financing for Homebuyers



Learn More About FHA Loans



FHA loans are Federal Housing Administration insurance backed mortgage loan provided by an approved FHA lender. So, what does that mean for you? It means that this loan program was designed as an alternative to conventional loans. With attractive and more flexible guidelines, homebuyers secure the loan they need to move into their dream home. An FHA loan helps remove barriers like lack of credit or a large down payment for many homebuyers, which is why it’s a popular loan program for many first time homebuyers.



A Loan To Help You Move Into Your Dream Home


What Are The FHA Loan Benefits?

Since FHA home loans are backed by the government, the requirements are less-difficult than some other mortgage loan options.


FHA loans offer great benefits for first time and repeat home buyers.

1. Easier Credit Qualification

Credit scores play a huge part in the type of home loan you qualify and the rates that you’re eligible for. FHA home loans are considered to have an easier credit qualifying. How easy? Borrows with credit scores as low as 500 can be eligible for an FHA loan.


2. Lower Down Payment

The minimum down payment for an FHA home mortgage is only 3.5%. That means if you’re purchasing a home for $175,000, you only need a little over $6,000 for your down payment.


3. Covered Closing Costs

Some loans, require the borrower to cover all of these associated costs. However, with FHA loans, home sellers, builders, and lenders are able to pay some of the closing costs.


4. Approved FHA Lender

The Federal Housing Administration does not lend to borrowers. Instead, it relies on vetted and approved lenders to assist borrowers. These lenders are carefully audited and inspected to ensure they uphold the FHA’s standards.

FHA home loans are one of the most popular loan choices for first time homebuyers.



Guiding You Home


How to Apply for FHA Loans

The FHA mortgage loan application process is often seen as intimidating. There’s paperwork involved, you must provide countless personal records, and it can take weeks. At GVC Mortgage, our goal is to streamline the process, make it simple, and offer whatever support we can to help you move into your dream home. Whether this is your first home or your fifth, we’re here for you.


Getting pre-qualified for an FHA loan is the first step in moving into your dream home.

Step One: Get Pre-Qualified


This step can be done online, securely, in a matter of minutes. Once you’re pre-qualified, you’ll have a better understanding of your loan options, how much money you can borrow, and the next steps in the process.

A mortgage consultant will help guide you through the FHA home loan process.

Step Two: Talk to A Mortgage Consultant


After you’re pre-qualified, one of our mortgage consultants will reach out to discuss your goals with you. From there, they’ll work with you to determine what paperwork needs to be submitted to the underwriter.

Underwriters comb through FHA loans to verify that all of the information is accurate.

Step Three: Underwriting


We’ll review all of your documents and information to make sure it’s accurate and complete. We may call you if we need more items or if we need you to verify anything.

Closing on FHA loans happens after full underwriting review.

Step Four: Close On Your Loan


Once you’re given the all clear from the underwriters, it’s time to schedule your closing. Again, your mortgage consultant will be there to assist with all of the paperwork and steps in the process.


FHA Loan Quick Contact Form

Contact us using the form below and one of our mortgage consultants will respond to you shortly.

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Frequently Asked Questions

Applying for a mortgage can be complicated. Knowing which loan program is right for you, can be even more complicated. We’re here to guide you through the terminology, jargon, and complications that might be thrown at you through the process.


How much do I need for an FHA loan down payment?



 

Your down payment will partially depend on your credit score. The higher your credit score, the lower your down payment can be. The minimum down payment for an FHA loan, however, is 3.5%.

You should also know that the higher your down payment, the less interest you’ll pay over the life of your loan and less you’ll pay month to month.

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What are the credit score qualifications for FHA home loans?



 

You must have a minimum credit score of 500-579, but will need a minimum down payment of 10%. To be considered eligible for the 3.5% down payment, you need a credit score of 580 or higher.

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What are the FHA loan limits?



 

The Federal Housing Administration changes the loan limits that it will insure every year. The maximum, also known as the ceiling, and the minimum, also known as the floor, vary according to the cost of living in each area. To learn more about the limits in your area, contact a mortgage consultant.

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Do I have to pay mortgage insurance with an FHA loan?



 

If your down payment is less than 20%, you will be required to pay mortgage insurance. With and FHA home loan, you’ll pay two types of mortgage insurance premiums. When you get the loan, you’ll pay an upfront premium, which will be .75% of the loan amount. Most of the time, an upfront premium can be rolled into the financed loan. The second type of mortgage premium is an annual premium, which is a paid monthly according the terms of your loan.

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Ready to move into your dream home?

We’ve made getting started with your mortgage loan as simple as possible. Our mortgage consultants are ready to help guide you through the process.


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