Texas FHA Loan

What is FHA? For Texas home buyers or homeowners, the FHA loan program represents a valuable opportunity to achieve a mortgage solution using either a purchase or refinance program. FHA is the short for Federal Housing Administration. The U.S. Congress created the Federal Housing Administration in order for home buyers, just like you, to have greater access to mortgages loans. This is ideal for residents of the great state of Texas. The FHA program does this by insuring the mortgages for single family and multi-family homes. Utilizing mortgage insurance premiums, the FHA program offers protection to lenders against potential loss that may result should a homeowner default on a government insured FHA loan. In return, Texas homeowners and home buyers get great rates, and all the security an Government program like FHA affords borrowers.

FHA Mortgage Loans originated in Texas must be able to meet the underwriting requirements established for the program to qualify. Since 1934 the FHA program, overseen by HUD, have helped nearly 34 million people achieve financing.

100% loan financing for Texas home buyers

Many mortgage companies in Texas offer 100 percent financing. However, these loans do nothing out the closing expenses. These closing costs cannot be added directly to the loans. The reality is, if the FHA loan program is right for you, we offer many conventional programs that can facilitate you loan requirements.

Depending on the kind of loan you select and the actual home that you want to purchase, closing costs usually run 4 to 6% of the purchase price. The FHA loan program allow up to 6% seller paid closing costs, and 3% down can be paid via a down payment program or qualified gift. With our conventional program, we are limited by the underwriter as to what will be approved. The higher your credit score and more secure your picture, the higher the probability that the underwriter will allow up to 6% seller paid closing costs.

Regardless of FHA or conventional, in most instances, Texas sellers are permitted to pay up to 6% of the closing costs of home buyer. Since shopping for a Texas mortgage can lead to a lot of uncertainty, we would invite you to consider our services. Please read through our programs and consider everything we can offer as a lender. If you don't feel comfortable, we encourage to continue shopping.

Can a Texas FHA Loan help a Texas first time home buyer?

Definitely, the Texas FHA Loan is a big help for first time home buyers. Texas FHA loans are insured backed by the United States Government and offer you security and opportunity.

The following are just some of the advantages and benefits a Texas FHA mortgage loan for first time home buyers.

• FHA mortgage offers easier credit qualifications; it does not required any minimum credit score · and in some instances, may not require you to pay off charge-offs and past collections.
• FHA loans offer low or even no down payment. The no down payment opportunity is possible when using down payment assistance
• With a FHA mortgage, you only take care of a single payment every month. The taxes and the insurance are included in the payment.
• FHA has a much lower rate of interest than the bad credit alternative loans.

What are the requirements to pre-qualify for a Texas FHA loan?

Qualifying for a Texas FHA loan is as easy as calling 1-888-427-5442. A 1st Continental Mortgage representative can gather all of the necessary answers to questions which will identify whether you may qualified for a low rate FHA home loan. Not ready to talk with someone just yet? Complete our Quick Application and a loan officer will contact you at the time you specify.

What are the fees that I should expect as part of a Texas FHA mortgage?

There are many customary and reasonable fees that will be charged to you part of a Texas FHA mortgage loan. Such fees include inspection fees, credit report fees, appraisal fees, fees on document preparation and other similar charges. Upon request, 1st Continental Mortgage would be very happy to provide you with a list of charges you can expect to see when your FHA loan closes. Remember, closing costs for the Texas FHA loan program are regulated by the Federal Government. There are some things you should not and will not pay when you close with us.