Quantcast

Know Your FICO Score: Applicants who fall below the 580 score will have to put down a 10 percent down payment in order to qualify for an FHA mortgage loan.

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 August 10, 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 -

Get started one
Get started two
Get started three
Get started four
FHA.com is a privately owned website, is not a government agency, and does not make loans.

Choose a Loan Type

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

Identify and Fix Credit Report Errors

Things to Do Before Applying for an FHA Loan

Identify and Fix Credit Report Errors

When the Federal Housing Administration announced rule changes to help strengthen finances and protect against risk, one of the biggest changes was requiring a minimum FICO score of 580 to qualify for the attractive 3.5 percent down payment on mortgage loans.

Know Your FICO Score

Applicants who fall below the 580 score will have to put down a 10 percent down payment in order to qualify for an FHA mortgage loan. For many applicants hovering just below that threshold, this policy change may serve as a great opportunity to take close look at their credit report and improve it.

The FICO score is actually comprised of your credit scores from the three national credit bureaus--Experian, TransUnion and Equifax. If your FICO score is just below the FHA limit, you should take the proper steps to check your credit report with the three agencies.

How to Check Your Credit Report

There are many ways people can check their credit scores. There are many online resources for people wishing to identify where they stand with lenders. Once you've gotten your report from the three bureaus, carefully examine your credit history for anything out of the ordinary, such as unauthorized loans taken out in your name, incorrect late payment records or anything that seems questionable, no matter how minor you think it is.

While your credit reports and credit score are what lenders use to judge your reliability in paying back loans, errors in your reports can happen. Make sure they aren't hindering you and your life's plans.

Correct Errors as Soon as Possible

The longer you wait to correct your credit history, the more potential damage errors can do. Prevention is key, so if you don't use a credit monitoring service, you should consider one. If you do find any errors, send a letter to the bureau that reported it and clarify with them why you think it is incorrect. Be sure to provide proof and any other documentation that will help your claim.

If you're already in the process of applying for an FHA loan, notify your lender of your dispute with your credit report as well because your credit score indicates your creditworthiness. It never makes sense to suffer at disadvantages that were the result of something you didn't do.

Credit Scores for FHA Loans

SEE YOUR CREDIT SCORES   From All 3 Bureaus  

Do you know what's on your credit report?

Learn what your score means.


GET STARTED

FHA Loan Articles and Mortgage News

HUD Announces Employment Verification Guidelines for COVID-19

August 6, 2020 - The FHA and HUD have announced an extension to certain coronavirus measures initiated to allow lenders to approve FHA home loans among other guidelines altered by a multi subject mortgagee letter issued by HUD in the last week of July 2020.

House Hunting During a Pandemic

July 27, 2020 - Are you ready to buy a home using an FHA home loan? At the time of this writing, coronavirus is still a major problem in the United States and there are revised procedures for appraisals and other measures to avoid spreading the disease while continuing to do business in the housing market.

Does Checking Your Own Credit Hurt Your FICO Score?

July 24, 2020 - The importance of credit monitoring can’t be understated; the more you know about your credit report, how it changes and when can make a great deal of difference when you are ready to commit to a home loan.

Monitoring Your Credit Before Your Home Loan

July 21, 2020 - Consumers are warned repeatedly to monitor their credit for signs of identity theft, erroneous information, etc. Some future home owners already do this, but the concept is new to others. Why is credit monitoring a crucial part of your preparation before applying for an FHA mortgage?

Preparing for an FHA One-Time Close Loan

July 14, 2020 - The FHA One-Time Close construction loan, like its VA construction loan counterpart, is a loan backed by the government that allows the borrower to apply for a single mortgage loan to cover both the costs of construction of a home from the ground up and the purchase of the home.