Many first time home buyer's ask "What is an FHA Loan?" without ever getting a clear concise answer, we'll give that to you
here -
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Part of the stimulus package of
2009 includes the homebuyer tax credit. This credit is intended to help buyers
with a credit to be applied on -
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In numerous housing markets
across the nation, the increase in housing prices doesn't match the areas
average household -
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The Foreclosure process is
different in all 50 states. If you are having a hard time making your -
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With a long list of charges at
settlement, it's important to know what to expect. The Real Estate Settlement
Procedures Act (RESPA) requires your -
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FHA Standard Mortgage Program
Section 203(b)
Section 203(b) provides FHA insurance to help lenders protect against
the risk of default on mortgages to qualified borrowers. Insured
mortgages may be used to finance the purchase of new, existing or
construction of a 1-4 family owner occupied dwelling, as well as to
refinance with or without cash-out (cash-out is limited to an LTV of 85
percent).
Section 203(b) features:
- Down payment requirements can be as low as 3 percent. This is
because FHA insurance allows borrowers to finance 97 percent of the
value of their home purchase through their mortgage.
- Many closing costs can be financed into your FHA mortgage loan.
With most conventional mortgages, the borrower must pay, at the time of
closing, costs equivalent to 2-3 percent of the price of the mortgage
loan. By allowing the borrower to finance many of these charges, the
borrowers upfront costs are reduced significantly when buying a home.
- FHA rules put limits on some of the fees charged by your lenders.
For example, the mortgage origination fee charged by the lender may not
exceed 1 percent of the amount of the mortgage and the tax service fee
is not allowed.
Maximum mortgage loan amount for each
county