February 12th, 2010 
admin 
Applying for a traditional mortgage can be a tough one, and if you’re finding that you’re not getting approved for one, or you’re simply having trouble, you may want to look into a FHA loan.
A FHA loan is a mortgage that’s distributed by the Federal Housing Administration. It’s assistance that you can get from the government, when you’re purchasing your first home.
What are the requirements for a loan like this?
Personal use only: When purchasing a home, it has to be for personal use only. You can’t use it for a business, or use it as an investment property. Instead, you’re going to want to ensure that this is going to be your homestead, not someone elses.
Must be a citizen: This is simple, but you must be a legal resident of the United States, and over the age of 18, so that you can legally sign a contract.
Find a qualified bank: Not every bank will work with FHA loans. You will want to search out a particular bank. You can either consider a loan officer, or if you wish, you can look into finding a bank online. One simple phone call can give you the answers that you need.
When you apply for a FHA loan, the banks are going to look into your income, your assets, credit history, as well as your FICO score. Each situation is going to vary, and you will find that every person has a different story, so it doesn’t hurt to head to a bank. What you will find out is that everyone has their own scenario, and just because you have $20,000 in student loans, it doesn’t mean you’re not going to get approved.
Most people know when it’s time to buy a house. Don’t go out, and purchase a home if you can’t afford one. Instead, you will want to make sure that you have at least 3% to put down on your home, and enough socked away for a rainy day.
A FHA loan is a great alternative to look into. Check it out, and see if it’s something that you may want to consider for your next home purchase.
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Tags: Fha Loan, Loan