In the past several years, lower-income Americans and those without stellar credit have found purchasing a home increasingly more difficult. Despite the housing market increases, homeowners have faced when it comes to buying a home, members of the military have seen an increase in home ownership. When you need to know more about what your service can do for you when it comes to home ownership, get help from Nationwide Home Loans.
Your Solution To Home Ownership With FHA Loans Fort Lauderdale
Here at Nationwide Home Loans, we offer a variety of loans to help people get the home of their dreams. We offer FHA home loans in Fort Lauderdale because everything we do is geared toward supporting potential and current homeowners in their quest for financial stability. Our talented team of customer service representatives and mortgage specialists is prepared to guide clients—whether they are first-time home buyers or seasoned veterans of the housing market—through the entire mortgage process, including an application for and servicing of an FHA loan.
FHA loans Fort Lauderdale are one of many loans we offer to help veterans, service members, and eligible surviving spouses to become homeowners. Veteran Affairs loans, reverse mortgage loans, and other specialty loans include a fixed-rate and adjustable-rate conventional mortgage loans. Beyond purchasing a home, this loan can help veterans with energy efficient improvements, repairs and interest rate refinance.
What is FHA Loan?
An FHA loan is a mortgage issued by federally qualified lenders and insured by the Federal Housing Administration (FHA). FHA loans are designed for low-to-moderate income borrowers who are unable to make a large down payment.
As of 2018, these loans allow the borrower to borrow up to 96.5% of the value of the home (with a credit score of at least 580; otherwise, a 10% down payment is required). The 3.5% down payment requirement can come from a gift or a grant, which makes FHA loans popular with first-time homebuyers.
Who are FHA Home Loan In Fort Lauderdale For?
FHA loans are offered to low-income individuals who have credit scores as low as 500. Individuals with a credit score between 500-579 can obtain an FHA loan with a down payment of 10%; individuals with a credit score higher than 580 can get an FHA loan with as little as 3.5% down. FHA does not lend the borrower the money to take on a mortgage or to buy the house. Rather, the borrower pays a monthly or annual mortgage insurance premium to the FHA to insure the loan, which the lending institution issues to him or her. In case of default, the lender’s financial risk is minimized because the FHA would step in to cover the payments.
What's FHA Loan Mortgage Rates?
FHA loans can help you clear the biggest hurdle—access to financing—they can also help you with other aspects of your mortgage. Most home purchases require a 20 percent down payment. Even for an inexpensive property, this can mean thousands—or even tens of thousands—of dollars out of your pocket. For many Americans, this is simply impossible; it may also expose a borrower to considerable risk by tying up all of their savings in a home. FHA loans require just a 3.5 percent down payment, drastically reducing your upfront costs as a borrower.
Alternatively, an FHA loan allows the borrower to fold closing costs into the mortgage amount, thereby spreading the cost burden over the length of your mortgage. Either way, these alternations can save you several hundred to a few thousand dollars out of pocket. Applicants for FHA loans must demonstrate a steady employment history with the same employer for at least two years as well as meet minimum credit score requirements of 580 in order to be eligible for maximum financing.
Learning the ins and outs of FHA loans, including whether or not you qualify for one, can seem complicated or even overwhelming, but the potential benefits are enormous. FHA loans are a primary pathway for many to finally achieve homeownership. Nationwide Home Loans is available to speak with you and help you understand everything you need to know to make the right decision. It’s what we love to do.