It’s time for you and your family to move home, but you’re not sure if you can afford to buy your own property. Is that something you can really do? With FHA loans in Fort Lauderdale, FL, you can buy that home, even if you thought you couldn’t before. Here are some of the best FHA loans for families in your area.
Why An FHA Loan?
What is it about an FHA loan that makes buying your own home more affordable? It’s all in what the Federal Housing Administration, or the FHA, offer your lender. With a regular home loan, your lender is offering you the loan, with the expectation that you’ll be able to pay it back. If you default on the loan, then they are left to pick up the tab.
With an FHA loan, that isn’t going to happen. The FHA won’t give you the loan, but they will back it. If you default on it, they’ll be the ones to work things out with your lender. You’ll still be responsible for your loan, but from your lender’s point of view, you’re much safer to lend to. That makes you a much more attractive client, so you’ll find it easier to get the loan you need.
If you go for an FHA loan in Fort Lauderdale, you’ll have to pay higher fees in your mortgage insurance. This is your trade-off for getting lower interest rates or a loan with a less than stellar credit score. In most cases though, it’s well worth paying.
Graduated Payment Mortgage
If you’re currently on a lower income, but expect it to increase in the next few years, then a graduated payment mortgage will be for you. As the name suggests, you’ll start out by paying lower mortgage rates. Over time, usually a 10-15 year period, those payments will increase until you’re paying the full mortgage rate.
These loans are great if you need a certain style of home, but your income isn’t yet at the rate you need it to be to afford it. The graduated payment mortgage allows you to net the perfect home now, and start paying the going rate for it once you start earning an increased wage.
Fixed Rate FHA Loan
These loans are designed for those who want to buy a home but haven’t been able to put away the money to afford one. For example, newlyweds, buyers who are still studying, or college graduates. They can buy the home they need with a much smaller down payment, so they can get into their perfect home right away.
Buyers will also know that with this loan, they will be paying the same amount every month on their mortgage. There will be no surprises, so they can budget accordingly.
FHA Loans For Condominiums
This loan is designed specifically for those who are looking to buy a condo in a housing complex. These types of homes come with their own set of costs, such as monthly housing bills. This FHA loan will help you buy this home and manage those costs as you live there.
Adjustable Rate Mortgage
This mortgage type allows you to take advantage of low mortgage rates as and when they appear. If you take out your loan at a time when interest rates are low, you’ll pay less on your mortgage during that time. Be aware though, when interest rates rise again, your mortgage payments will too. You’ll need to be sure that you can keep up with payments when this happens.
When it comes to FHA loan mortgage rates, this could be the best option for you. These loans are designed for those either in active duty with the armed forces, or those who are veterans. It can also be used by spouses and widows or widowers of veterans, too. With this loan, you’ll get lower payments, and acceptance for loans even if your credit rating is lower than average.
There are lots of options when it comes to your FHA loan, and there’s sure to be one that suits you. Come to talk to us at NHL Lending, and we’ll help you find the loan that will get your family into the perfect home.