Buy a Home With Just 3.5% Down – Even With Lousy Credit
“There is nothing to fear, but fear itself.”
When FDR spoke those words, he was trying to reassure a nation in the throes of an economic disaster.
Today, those words might be, “There is nothing to fear when you fear your credit rating.”
You can get a mortgage with the top mortgage brokers in your area with little or no down payment and a low credit rating when you turn to the FHA – the Federal Housing Administration – who will insure your loan. The FHA allows you to use a minimum down payment of 3.5%, even if you have an imperfect credit history.
This FHA program started about the time Roosevelt spoke his famous words and was in response to the high number of foreclosures and defaults. They supply mortgage lenders with adequate insurance and help stimulate the housing market through accessible and affordable loans.
FHA loans are very popular with first-time homebuyers and those with low credit scores.
Easy Qualification – Workable Solutions
It is easy to qualify for an FHA loan. All you need is a down payment of 3.5%. So, if you cannot afford the usual 20%, or if private mortgage insurers in your region walk away when you show up at their doors, you might find the FHA option as your next, best move.
Here’s another thing to consider with the FHA option: the loan is “assumable.” That means when you want to sell your home, the new buyer can assume the loan you have. So other people with low or bad credit, or with a bankruptcy or foreclosure in their history, may still qualify for an FHA loan.
What Do You Need?
The FHA has a few specific requirements you have to meet, but considering the advantages of a 3.5% down payment, they are not overly burdensome.
- A 2-year history of steady employment, a valid Social Security Number, be a legal resident and of legal age.
- A minimum down payment of 3.5%. That money can even come from friends and family members.
- FHA loans are only for primary residence property and have an FHA-approved appraisal.
- You should be two years out of bankruptcy and have re-established good credit.
- You should be three years out of foreclosure and have re-established good credit.
Compare and Save Today
A good Real Estate Agent is a great resource to help you find these loans.
The best mortgage brokers can offer a significant advantage when you shop for your next mortgage, even an FHA loan.
They will compare lenders so you save money.
A recent report shows that when a top-rated mortgage broker compares five different lenders, the average homebuyer saves $24,000. Even comparing just 3 lenders can save you as much as $16,000.
It’s time to live the dream! Find your new home for just 3.5% down right now.
Interested in the possibilities? Search for great real estate agent and broker near you today.
