The key for the consumer is to understand what loan product will best serve their needs for now and in the future. The problem in the past has been consumers have been placed into programs that were not compactable with their cash flow or their future plans.
One product for the consumer to consider is FHA Financing. FHA loans are guaranteed by the government and for the new home buyer offer low down payment options that are in some cases have more flexible guidelines than the normal traditional mortgages.
Some of the features to this type of product are but not limited to depending upon the consumer’s situation are as follows:
• Down payment of 3.5%
• Allows for lower credit scores
• Cash out refinance transactions up to 85% loan to value
• Loan amount available up to the maximum Jumbo FHA limit in your area
• No minimum or maximum income limits
As a consumer if you are considering a refinance or a new purchase, you need to have all of your financial information available. By having all the information available, the lender will be able to assist you and explain to you all your various options whether under a FHA financing program or another loan program.
