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 Loan Rules on Student Loan Debt
The borrower who has a parent paying student loan debt every month may be able to show the cash income from that payment is stable and reliable. Debt listed in their own name can and probably will be included in debt-to-income ratio calculations.
FHA FICO Score Facts
The FHA Bad Credit Loan myth is a common one, but the truth of the matter is that FHA loan rules, as printed in HUD 4155.1, do list minimum credit scores.
Tax Documents and FHA Home Loan Applications
When applying for an FHA home loan, some lenders may ask for tax paperwork as part of the application process. Some borrowers may wonder if this is legal, or an acceptable practice for home loans in general.
Are FHA Loan Standards More Lenient Now?
FHA loan applicants should compare rates and terms with competing lenders to try to get the most favorable terms on the loan or refinance loan. Down payment rules for FHA loans require a minimum 3.5% down compared to up to 20% for conventional loans.
A Common FHA Loan Closing Costs Question
There are many typical questions about FHA loan closing costs. For example, some wonder if the closing costs can be viewed as part of the required FHA loan down payment. (That is not possible, the closing costs and down payment are two separate things.)