FHA Mortgage Loans in Pennsylvania

It's easy to understand why many people looking for a new home are turning to FHA insured loan programs. Because FHA Loans are insured by the Federal Housing Administration, homebuyers have an easier time qualifying for a mortgage. Those who typically benefit most by an FHA loan are first-time home buyers and those who have less than perfect credit.

Changes in FHA Loans

In response to the growing housing situation in the United States, the loan limits for FHA Loans has been temporarily raised. Depending on where you live you might find it even easier to qualify for a FHA loan.

As FHA Loan specialists we can help you understand any new changes to the FHA loan program. We're here to create a customized solution that works best for you and your family. To learn more call us at 215-661-1660 or contact us via email by clicking here.

FHA Loan Benefits

FHA insured mortgages help more people become home owners.

Easier to Qualify – because they’re backed by the federal government, lenders are more likely to give you the kind of loan that you need.

Low Money Down – FHA insured mortgages only require a 3.5% down-payment which makes it easier for people to own homes. Additionally, that 3.5% can come in the form of gifts, unlike many other loan programs.

Lower Credit Score Requiremens – because FHA insured loans are backed by the government those with a poor credit history have an easier time getting this kind of loan.

Better Interest Rates – with the backing of the government, these loans typically have a better interest rate than most traditional mortgage loans.

Better Home Stability – the FHA has programs designed to help homeowners keep their homes during hard times. They will work with you to help your home from falling into foreclosure. Always try to work out problems with your lender before the situation becomes dire.

FHA Mortgage Loan FAQs

What is an FHA Loan?

• FHA stands for the Federal Housing Administration. It was created in 1934 to help Americans get into homes.

Can I pay an FHA loan off early?

• Yes, however be sure to check the pre-payment section of your contract before signing.

Can I refinance a FHA loan?

• Yes. Talk with one of our professionals today to see if refinancing your FHA loan makes sense.

Will I have to pay mortgage insurance with an FHA loan?

• Yes, in fact FHA mortgages often require you to carry mortgage insurance for longer than most conventional loans.

Can I get a "fixer-upper" of a home with a FHA mortgage?

• Yes, however you might be required to fix certain problems in the home before you can get the full loan. Speak with us today for details.

Qualifications for FHA Loan

Qualifying for a mortgage loan can be difficult, near impossible without a sizable down payment and a good credit history. There are fewer restrictions for FHA loan qualification in comparison to a standard mortgage loan.

Qualifications for an FHA loan are:

• Proven employment status of at least 2 years.
• Steady or increasing income over a 2 year period.
• History of on-time payment. No more than two missed payments on your credit.
• If you've filed for bankruptcy you must wait at least 2 years and have good credit since you filed.
• Those with foreclosures must wait at least 3 years since the most recent foreclosure.
• Monthly mortgage payment should be roughly 30% of your gross income.
• You must pay a minimum of a 3% down-payment.
• Agree to 2.25% in closing costs
• Only certain properties are eligible - single-family homes, condominiums, double-wide manufactured homes, modular homes and 2-4 unit properties.
• The property must be your primary residence.

Learn More About FHA Mortgage Loans & Get a Rate Quote:

Checklist for FHA Application

When you're applying for an FHA loan the following list of documents will help expedite the process. We can help you understand any part of the FHA loan process so don't hesitate to contact us with any questions.

Employment Info

• Past two years completed tax returns.
• Past two years W-2's, 1099's and any other necessary tax forms.
• One month worth of newest pay stubs.
• Self-employed will need three years tax returns and YTD Profit & Loss Statement.

Savings Info

• Past three months full bank statements for all accounts.
• Any recent statements from investment accounts (retirement, 410k, mutual funds, etc.).

Personal Info

• Driver's License or other official State identification.
• Social Security Card.
• Any Divorce, Palimony, Alimony Documents.
• Green card or work-permit (if applicable).