What Home Loan Will Suit You The Best...?

What Home Loan Will Suit You The Best...?



USDA:

  • 0% down
  • They charge a 1% Mortgage insurance premium that’s rolled into the loan and a .35% annual premium that’s paid monthly
  • Income limits for 1-4 people in home is $80,200, 5+ people limit is $105,850 (household income)
  • Minimum credit score of 640 to qualify
  • Rural areas qualify (all of Iron county, some of Washington county)
  • Won’t do manufactured homes
  • Debt to income ratios have to meet their parameters to qualify
  • Must be primary residence—won’t allow non-occupying co-borrowers


FHA:

  • 3.5% down minimum
  • Loan limit is $294,515 so max purchase price with 3.5% down would be $305,196 (unless home is more than one unit then it goes up more)
  • They charge a 1.75% Mortgage insurance premium that’s rolled into the loan and a .85% annual premium that’s paid monthly
  • Usually minimum FICO score is 620 but we can do a manual underwrite with no scores
  • Debt to income ratios are very flexible
  • Home must be primary residence but will allow non-occupying co-borrower


Conforming Conventional:


  • 5% down minimum in most cases—3% down loan available for special program but must qualify
  • 10% down minimum on second homes and 20% down on investment properties (unless more than 1 unit)
  • Most liberal on appraisals (condition of home)
  • Requires monthly mortgage insurance unless putting 20% down
  • Minimum FICO score of 620 but rates and mortgage insurance are very credit sensitive so best rates and MI will be at 740+
  • Max debt to income ratio 50%


VA:

  • 0% down
  • Veteran must be eligible and obtain “Certificate of Eligibility” from VA to qualify
  • Has one-time mortgage insurance premium that’s rolled into the loan unless the veteran is disabled—no monthly mortgage insurance
  • Minimum FICO of 620 usually
  • Very liberal on debt to income ratios
  • Home must be primary residence
  • If there’s a spouse/coborrower on the loan they must be married to veteran


Note: Loan Options Are Subject To Change.