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Individual purposes
It is the most moderate amount if to compare with other types of mortgages and credits for individual purposes.

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Borrow money
When people are seeking the best options to borrow money, this issue about the down payment seems to be the most attractable.

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Which can grant you with a certain amount of money.

Myths about FHA loans

Nowadays there are different options to maintain personal financial purposes, including education, medicine as well as massive purchases of houses and vehicles. People are constantly looking for enormous opportunities to ensure the successful financial progress and coordinate personal budgets. FHA loans are considered being the important option to borrow money, which is granted by the Federal Housing Administration. You should understand that this particular agency is not considered being a lender, but it is an organization, which provides an option for lenders to get a mortgage insurance for offering FHA loans to individuals and business owners.

There are numerous advantages as well as features on the particular type of loan, starting from the lowest interest rates as well as opportunities to make an affordable down payment. The majority of private lenders – local commercial banks and financial agencies – provide a possibility to take FHA loan together with the low credit score as well. There are different myths, which are going around of the FHA loan. Let us go through them and help you to analyze facts as well as fiction.

Myth 1: FHA loans are too expensive

Well, you cannot say that FHA loans are expensive or less expensive because there are different facts and requirements, which depend on an individual overall sum of money. For instance, when you are taking a loan for more than $500.000, in this particular case you have a chance to get the lowest percent for down payment and interest rate as well. When the sum of money of your special FHA loan is less, your interest rate will be higher.

The other essential part of your payments is considered being about the premium insurance. Together with your regular payment, you will also pay a certain amount for your premium insurance annually. For the FHA loans, which you get for the term from 10 to 15 years this amount, will vary from 0.5 to 1 percent.

Myth 2: Your down payment is high

It is false. In most of the cases, your down payment for the FHA loan will not be higher than 3 percent annually. As long as your credit score is considered being high enough (from 550 and more), you have a chance to take a reasonable offer for the down payment for your loan.

Myth 3: I cannot get a loan after bankruptcy

When you have a bankruptcy of your business, it does not mean you won't be able to take an FHA loan. Moreover, if you declared your FHA loan two years ago, and now your are working on the re-establishing of your credit score and history of credits, you have huge chances to apply for the FHA loan as soon as possible. If you maintained your regular payments for the loans in the past and completed your deals successfully, you can apply for FHA and consider reasonable conditions and terms of payments for the low-interest rate and convenient down payment.

News & Events

4rd / February / 2016

Conduct research on applying to the particular loan of financial organization and have a look at requirements and terms they offer.