The FHA loan program can help you purchase a home in Raleigh or beyond with a low down payment.
Whether or not you are buying your first home, you will love the relaxed qualification requirements that make it easy to apply successfully for an FHA mortgage.
What is an FHA Mortgage?
An FHA mortgage is a home loan insured by the Federal Housing Administration. This makes it different from a conventional loan.
An FHA mortgage is less risky than a conventional mortgage for lenders. That is why the qualification criteria are relaxed, and why you can qualify for affordable rates without perfect credit.
Benefits of Raleigh FHA Mortgages
- Buy your home with a low down payment. For many borrowers, this means having the opportunity to move into their dream home sooner than they imagined.
- Perfect credit is not required for eligibility. You may still qualify even if you are still working on building up your score.
- FHA mortgages feature affordable interest rates.
- There is a strict cap on the closing costs for this type of home loan, and the seller can pay the closing costs.
- As with a conventional loan, FHA mortgages can feature fixed or adjustable interest rates.
- There are multiple loan terms to choose from.
- You can use an FHA loan to buy a home, build one, renovate one, or refinance. You can also consolidate debts with this type of mortgage.
Do You Qualify for an FHA Loan in North Carolina?
During your consultation, we can help you figure out whether you are eligible to buy a home with an FHA loan. You can read the basic requirements below:
- Your credit score needs to be a minimum of 500. If you want the lowest possible down payment, you need a score of 580 or higher.
- 43-45% or better is the required debt-to-income (DTI) ratio range.
- You require a clear Credit Alert Verification Reporting System (CAIVRS) record.
- Two years of employment along a consistent career track are required.
- You must wait out the 12-24 month waiting period after declaring bankruptcy before you can qualify for an FHA mortgage.
- You must wait out the 3-year waiting period after a foreclosure before you can qualify for an FHA mortgage.
- You can use an FHA mortgage only to buy a primary residence. You must choose a different type of loan to buy a second home or investment property.
- A permanent foundation is a required feature of a home if you seek to buy it with an FHA loan. Additionally, it must have been constructed on or after June 15th, 1976.
Apply Now for an FHA Mortgage in Raleigh or Beyond
It is easier than you imagine to buy a home when you apply for an FHA mortgage. Please give the Martini Mortgage Group a call at (919) 238-4934 to schedule your consultation. We help repeat and first time homebuyers to purchase homes with FHA loans in Raleigh as well as the entire state of North Carolina. We also can connect you with an FHA mortgage in South Carolina, Florida, Georgia, Illinois, Tennessee or Virginia.