Columbus FHA Mortgage Lender

Mortgage loans through the Federal Housing Authority (FHA) are available to people in certain financial situations make to home purchases in Columbus. These loans are helpful for borrowers who may have difficulty securing a loan through traditional mortgage products.

As part of HUD, FHA loans are insured by the Federal Government and offer many advantages:

• Down payment assistance
• Decreased closing costs
• It’s easier to qualify

FHA Loan Borrowers with a credit score of at least 580 can borrow up to 96.5% of the value of a home. Borrowers with a credit score between 500 and 579 may still qualify for an FHA loan with a higher, 10% down payment.

FHA mortgage loans can be used to purchase a home, refinance, or to complete home repairs on 1 to 4-unit properties. These borrowers may pay as little as 3.5% of the total purchase price as down payment.

Common qualifications for FHA loans include:

First-time homebuyers – FHA loans are an affordable option for first-time homebuyers with low income, bad credit, or minimal credit history. Because they are insured by the Federal Government, banks are more likely to issue these loans to high-risk borrowers. As a result, borrowers may pay higher interest rates and PMI compared to other loan products. If you are looking to purchase your first home, take this quiz to see if you qualify for an FHA mortgage loan.

Seniors – 62 years of age borrowers or older who own their homes outright or have low loan balances can qualify for the FHA’s reverse mortgage program, the Home Equity Conversion Mortgage (HECM). The HECM can help seniors on a fixed income convert a portion of their home’s equity into cash to assist with cost of living and other expenses while retaining their home’s title. Funds can be distributed as a monthly amount, a line of credit, or a combination of both.

Home Improvement – FHA loans can be issued to homeowners that want to make energy-saving improvements to their homes. These renovations could include installing more efficient windows, new energy-efficient appliances, insulation and other improvements that can make a positive impact on the energy usage of the home.

For borrowers purchasing a fixer-upper, the FHA’s 203(k) Improvement Loan is a viable option. This loan includes the cost of certain repairs and improvements as part of the total amount borrowed.

Mobile Home Residents – the FHA has two loan products intended for mobile home/factory-built homeowners: one for mobile homes located in mobile home parks and another for those who own the land that the home is on.

Are you eligible for an FHA Mortgage Loan? The experts at Mortgage Lender Columbus are available to help! Contact us today with any questions about applying for the FHA lending program.