What is An FHA Loan?
FHA loans have been an attractive option, especially for first-time homeowners because it is insured by the Federal Housing Administration (FHA). Primarily, the federal government insures loans for FHA-approved lenders in order to reduce their risk of loss if a borrower defaults on their mortgage payments.Typically the borrower can be approved with 3.5% down vs 20% that is required on other loan programs.
Is FHA Loan better than a Conventional Loan?
In this broker’s option, no. Conventional Loans now offer as little as 3% down just like FHA. FHA may be a good alternative to Conventional ONLY IF you are not
able to qualify for a conventional loan but these instances are becoming less and less frequent as conventional qualifications are very close to the same as FHA.
Does GoToHome OFFER FHA Financing?
Yes. But as stated above, our first course of action is to try and qualify you for conventional financing. We offer both.