FHA - FHA Loan
FHA loan and FHA home loans are a very popular route for first time homebuyer to take, but FHA mortgages are available for everyone and NOT just first time home buyers. You can buy your third or fourth home with an FHA loan. The only stipulation is that you may only have one FHA loan open at a time. Click here for FHA Guidelines & FHA Loan Requirments
WHY FHA? The Federal Housing Administration (FHA), a wholly owned government corp., was established under the National Housing Act of 1934 to improve housing standards and conditions. It's goal was to provide an adequate home financing system through insurance of mortgages, and to stabilize the mortgage market. Thanks to the insurance products FHA helped to pioneer, such as the long term amortizing loan, the nation's home ownership rate has soared to an all time high.
Today, FHA Loan products play a critical role in financing for minority borrowers, first time home buyers, borrowers who have troubled credit history, and borrowers who have little money to put down on a home. FHA Loan origination's for minority home buyers are increasing. The result is 29% of new homeowners in the past three years.
In keeping with the Government's reinvention efforts, FHA has been very ambitious in innovating, automating, and streamlining the process through FHA Streamline programs. Many Single Family mortgage insurance programs have been streamlined. For instance, the Section 203(k) purchase and rehabilitation program has been greatly modified. Lenders, Realtors, and nonprofit organizations across the country have received training on how to make the Section 203(k) FHA Loan program work for them and ultimately for you, the consumer.
FHA has undertaken a demonstration in the area of automated underwriting before beginning to design its own automated underwriting tool as automation saves time and it ensures a more uniform treatment of all home owners including first time home buyers.
In the area of Manufactured Housing, FHA has worked with the industry to ensure that all manufactured homes meet enhanced safety standards. Finally, FHA is using the Internet in its business processes. FHA lenders can now submit information concerning their insurance endorsements electronically to a secured world wide web site called the FHA Connection. FHA home owners can also access information regarding mortgage insurance premium refunds on the HUD/FHA home page.
Why FHA Loan Corp?