Your Loan Checklist for a Smooth Application
Before you start the FHA loan process, be prepared to provide some information to your loan officer. Have it ready now to save time later.
- Address to your place of residence (past two years)
- Social Security numbers
- Names and location of your employers (past two years)
- Gross monthly salary at your current job(s)
- Pertinent information for all checking and savings accounts
- Pertinent information for all open loans
- Complete information for other real estate you own
- Approximate value of all personal property
- Certificate of Eligibility and DD-214 (for veterans only)
- Current check stubs and your W-2 forms (past two years)
- Personal tax returns (past two years), current income statement and business balance sheet for self-employed individuals
In addition, you will need to pay for a credit report and appraisal of the property.
FHA Loan Articles
Read About Mortgage News, FHA Updates, and Guidelines
FHA Reduces Annual Mortgage Insurance Premiums
FHA made an announcement about cuts in the annual mortgage insurance premium (MIP) in a preliminary January 2015 announcment. The new FHA policy reduces the rate for most Title II forward mortgages with terms greater than 15 years.
FHA Mortgage Insurance Premiums Requirements
There are many types of questions about FHA mortgage insurance premium requirements, but since the FHA changed its MIP policies to extend MIP for the maximum duration permitted by law, we've seen more questions about those changes.
Private Mortgage Insurance Requirements
One common question we get involves Private Mortgage Insurance and the premiums for that insurance. Borrowers should discuss PMI policy changes with a loan officer.
FICO Scores and FHA Lender Requirements
The FHA has a section in its rulebook that lists a minimum FICO score for borrowers. In general, if your FICO score is below 580, you won't qualify for the lowest down payment amount of 3.5%. This minimum may be lower than the standards set by lenders.
Minimum Property Requirements for Septic Systems
Lenders are responsible for making sure a property lives up to local requirements, community sewage systems are properly licensed, and these systems are adequate enough to service the property.