FHA Loans
Low down payment mortgages backed by the Federal Housing Administration
What Is an FHA Loan?
An FHA loan is a government-backed mortgage insured by the Federal Housing Administration. FHA loans are popular with first-time homebuyers and those with less-than-perfect credit because they offer lower down payment requirements and more flexible qualifying guidelines than conventional loans.
FHA Loan Requirements
FHA loans require a minimum 3.5% down payment with a 580+ credit score, or 10% down with a 500–579 score. The property must be your primary residence and meet FHA appraisal standards. Mortgage insurance premiums (MIP) are required for the life of the loan in most cases.
Key Benefits
- Down payment as low as 3.5%
- Credit scores as low as 580 accepted
- Gift funds allowed for down payment
- Higher debt-to-income ratios permitted
- Competitive interest rates
- Can be combined with Down Payment Assistance programs
- Available for single-family homes, condos, and multi-unit properties
Questions? Let's Talk.
Jay Spurlin has been helping Hendersonville families finance their homes for over 26 years. Call or apply online today.