FHA Mortgage Lenders Requirements Florida

FHA Mortgage Requirements Florida

FHA mortgage lenders remain one of the most popular Florida home loan programs for homebuyers. The FHA mortgage has limited down payment, allows bad credit past, and offers lower interest rates are just a few of the FHA mortgage advantages.

The biggest draw to the FHA mortgage is the low 3.5% down payment and 100% FHA mortgage loan option. While most conventional loans require a minimum of 5-20% down, FHA mortgage lenders only require a minimum of 3.5% down payment. This is especially helpful for first-time buyers who have limited savings.

FHA Mortgage Requirements

FHA Mortgage Lenders 4c Checklist

Another advantage is that the FHA mortgage offers competitive interest rates compared to other loan options. This can save borrowers thousands of dollars over the life of their loan.

FHA mortgages also have no prepayment penalty, meaning FHA borrowers can pay off or refinance the mortgage at any time without a prepayment penalty.. This gives homeowners more flexibility and control over their finances.

Homes in Florida are still  afordable when compared to many other states.  In most cases, the cost to buy versus the cost to rent favors buying. And, FHA mortgage lenders’ rates are still low, and purchasing often has many advantages over renting.

Qualifying For FHA Loans in Florida: 

Like many other Florida mortgage programs today, getting approved for an FHA loan in highly depends on debt-to-income, credit, and employment history. Of course, the biggest hurdle for most is coming up with the required down payment. Well, there is hope thanks to the  100% Florida FHA mortgage lenders, you can now finance the dowpayment in the purchase.

Even though Florida FHA guidelines don’t state a minimum score requirement, most Florida FHA mortgage lenders require your middle score to be at least 580 for the maximum 96.5% financing. Buyers with even lower credit scores, down to 500+, could qualify you for an FHA mortgage with 10% down.  There are also additional waiting periods in place for any FHA borrowers who may have had a bankruptcy, short sale, or foreclosure within the last 5 years.

Other than that, the only other thing FHA requires is two open trade lines showing that you have paid on time for at least 12 months. Open trade lines could be credit cards, car payments, student loans, etc. And speaking of student loans, you want to ensure you are current on all Federal loans to be eligible for an FHA mortgage.

Reasons FHA Mortgages Are Easier:

• FHA minimum 580 score = 3.5% down or 96.5% financing.
• FHA  minimum 500+ credit score = 10% Down
• FHA  purchase 12 months after a Chapter 13 Bankruptcy
• FHA purchases 24 months after a Chapter 7 Bankruptcy.
• FHA  purchase 36 months after a Foreclosure.
• No Credit Score Approvals using alternate trade lines.
• FHA Cashout Refinance Up To 80% loan-to-value!
• Please see the FHA mortgage lending limits county-by-county FHA loan limits chart below.

FHA Mortgage Information

FHA Florida Mortgage Limits Range from 524,225 – 654,350