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FHA advises prospective home buyers to approach FHA loans with their best possible credit history to eliminate any potential risk of not qualifying.

FHA Rates Near 50 Year Low!

Now is the time to drop the interest rate on your 30-year mortgage or refinance into a 15-year home loan.

FHA Rates for June 5, 2020
Are You Watching Your Credit Score?

NOTICE: Some FHA mortgage lenders are substantially raising FICO score requirements during the Coronavirus crisis, even though FHA minimums remain unchanged.


- Improving Your Credit Score Has Never Been More Important -

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FHA.com is a privately owned website, is not a government agency, and does not make loans.

FHA Loan Tips for Improving Credit

Track Your Credit Score and Stay on Top of Problems

FICO Scores Influence How Much FHA Down Payment Is Required

While FHA loans are known as a great service for people looking for help buying a house, applicants can make the process even easier if they take steps toward ensuring their credit history is in tip-top shape. The agency advises prospective home buyers to approach FHA loans with their best possible credit history to eliminate any potential risk of not qualifying.

Whether you're looking for a loan to mortgage a new house or to refinance a house you already own, it makes the most sense open up all your options with an optimal credit rating. The FHA recommends having a satisfactory payment history of at least one year before applying for a loan.

Credit Tips for Your FHA Loan

Here are some tips to help you on your way:

  • Take a Close Look at Your Credit Reports
    You don't know what could be hurting your credit score unless you actually check. Get your credit reports from the three national credit bureaus--Experian, Equifax and TransUnion--at no cost and comb them over for anything suspicious or questionable.
  • Dispute Inaccuracies
    If you find errors on your credit report, notify the reporting bureau in writing so you have a record. Provide any additional records or evidence you have to support your dispute.
  • Find Professional Help
    The FHA recommends applicants with credit problems get help from a Consumer Credit Counseling program. A credit counselor can help you get back on track.
  • Bankruptcy / Foreclosure
    If you've suffered from a bankruptcy or foreclosure in the past few years, you might still be able to qualify for an FHA loan. Develop a satisfactory payment history, re-establish good credit and meet the other FHA requirements.

While your credit history is just one of the many factors that make up your eligibility for an FHA loan, it is no doubt one of the most important. Having a higher score not only helps you qualify, you can also benefit from the low 3.5 percent down payment on mortgage loans available to applicants with a FICO score over 580. FHA approved lenders don't take your credit history lightly, and neither should you.

Helpful Advice - Credit Scores and Loans

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FHA Loan Articles and Mortgage News

FHA Construction Loan Facts

May 27, 2020 - Do you want to have a house built for you from the ground up? This is an option, even for first-time home buyers. An FHA One-Time Close construction loan has a 3.5% down payment requirement, which is lower than you may be offered on a conventional loan.

Do You Need Down Payment Help for Your FHA Loan?

May 26, 2020 - If you want to apply for an FHA mortgage, one of the first things you will learn is that FHA borrowers make a minimum 3.5% down payment, unless required to pay more due to low credit scores. How should you approach the down payment issue?

Areas of Your Credit to Work on Before Applying for a Mortgage

May 25, 2020 - While it is true that FHA mortgages have more forgiving FICO score requirements, lender standards will also apply and those standards are often higher than the FHA minimums. Improving your credit score is a combination of establishing good habits, avoiding too much credit, and reducing your debt.

COVID-19 Update: The State of Credit in the Age of Coronavirus

May 24, 2020 - If you have been watching the ups and downs of the mortgage market, you will notice that mortgage rates have been falling recently, but market watchers are quick to point out that those with FICO scores below the 700 range are experiencing more costly loans.

FHA Loan and Refinance Loan Facts You Should Know

May 21, 2020 - There are misconceptions about FHA home loans and refinance loans that hinder some borrowers from making truly informed decisions about their mortgages. What you don’t know can make a big difference in the price you pay, the terms you accept, and more.