The FHA Housing loan had been crowded out in the past by sub prime loans. With the recent demise of the sub prime loan in the recent bursting of the housing bubble, everyone is looking for FHA Loans Information.
The main reason for the search for FHA Loans Information is that FHA only requires 3.5% down payment and lower credit scores. Most conventional loans requires from 5% to 20% down payment.
As a real estate agent it was easy in the past to get someone approved for a sub prime loan, basically all they needed was a pulse. I never could understand how a person had trouble coming up with a $100 earnest money check yet could get approved for a $120,000 house.
Those days are over. Because of all of the foreclosures, things have gotten a lot harder to get a mortgage for a house. That is why most people that don't have the money for a 20% down payment are looking for FHA Loans Information.
The low 3.5% down payment is not the only reason people are looking for FHA Loans Information.
Here are three more reasons you should consider FHA Housing Loans:
1. It is much easier to qualify for a FHA Housing Loan.
Lenders are more willing to give you a FHA Housing Loan because FHA insures your mortgage so the Lender has less at risk than a conventional loan. This makes it easier for you to qualify for a FHA Housing Loan.
2. Most people's credit is not perfect, yours may not be either. That is OK with FHA, you don't need perfect credit. But you can't have awful credit either.
3. Interest rates may be lower than conventional loans. Because the loans are insured by the Federal Government, they have competitive rates. Always compare FHA interest rates with conventional rates.
