TexasLending.com knows that in today’s economy, many homebuyers are having a tough time securing mortgage loans. The Dallas/Fort Worth-based mortgage lender believes in working individually with their customers, explaining each step of the process so there are no surprises. For many homebuyers, TexasLending.com has found that FHA loans are a great option, allowing them to avoid the high PMI rates tacked onto traditional loans.
But FHA loans aren’t for everyone. TexasLending.com believes it’s imperative for homebuyers seek the help of a mortgage lender who can explain every detail of the FHA loan process. That is why TexasLending.com takes time with each homebuyer to make sure he or she understands the terms before initiating a loan process.
If a homebuyer has a few credit issues, TexasLending.com has found the FHA can be forgiving, but there are limits. Someone with moderate to severe credit damage likely will not qualify, but TexasLending.com can offer a homebuyer tips to begin the clean-up process–and that might raise his or her chances of qualifying.
As a homebuyer begins the process of applying for an FHA loan, it is essential to have a history of on-time payments. Whether renting or owning a previous home, on-time payments for at least the previous twelve months will factor in considerably, according to TexasLending.com. The team at TexasLending.com has even seen homebuyers with bankruptcies on their credit history that were able to secure an FHA loan based one to two years of consecutive on-time payments.
As for bankruptcies, TexasLending.com reports that, as long as the bankruptcy was two years ago or greater, the FHA will consider the loan. However, if an applicant has a foreclosure on his or her history, the FHA usually requires at least three years before a loan will be approved.
It’s important to note, TexasLending.com says, that the FHA requires a fixed 3.5% down payment. This is not negotiable and it doesn’t vary based on lender. TexasLending.com understands that not all homebuyers can afford a substantial down payment. In those cases, a relative may grant the amount as a gift, or perhaps a homebuyer can borrow it from his or her employer. TexasLending.com can also direct applicants to government agencies that offer assistance to those who can’t afford the down payment.
According to TexasLending.com, there is a maximum amount that the FHA will loan homebuyers. In Texas, the maximum is $271,050. This relates to a primary single residence. When TexasLending.com works with homebuyers in other states, maximums for that area will apply. For many, FHA loans are a great way for a homebuyer to secure the home loan he or she seeks. Contact the team at TexasLending.com to see if this is a good option for your situation.
For more information, visit Texas Lending online at www.texaslending.com.