Many people in Colorado hoping to qualify for a home loan in Colorado turn to FHA insured loan programs. An FHA loan is a mortgage insured by the Federal Housing Administration. This means you’re considered a less risky borrower than someone who doesn’t have the backing of the federal government. Borrowers with FHA loans also pay for mortgage insurance, which protects the lender from loss if the borrower defaults on the loan.
Fairway Independent Mortgage Corporation offers FHA loans at attractive interest rates with less stringent and more flexible qualification requirements than other mortgage types. Our role is to make sure that you qualify for an FHA mortgage and structure our loan to reflect it. Those who typically benefit most from an FHA loan are first-time homebuyers, those who have less than perfect credit and repeat buyers who have lost equity in the housing market.
FHA loans provide a number of clear benefits to borrowers who would be otherwise have difficulty securing a loan to buy a home these include:
Although FHA loans have fewer restrictions than other types of mortgages, you must meet basic qualifications to obtain a loan through Fairway Independent Mortgage Corporation. These include:
When applying for an FHA loan, having the following documents will help expedite the process. Don’t hesitate to contact us if you don’t understand any part of the FHA loan process.
If you have questions about what type of documentation you need to apply for an FHA loan, call us at 720-500-1871.
Borrows who already have an FHA mortgage may qualify for an FHA Streamline Refinance, which is a great way to reduce interest rate, reduce monthly payment or even both.
The Refinance Must Have a Purpose
Streamline Refinance applicants must demonstrate that there is a legitimate reason for refinancing such as changing from an Adjustable Rate Mortgage to a Fixed Rate Loan or reducing the total of principal + interest + mortgage insurance five percent or more.
Loan Balance May Not Increase to Cover New Loan Costs
The FHA prohibits increasing a Streamline Refinance loan balance to cover associated loan charge. Only the cost of the Upfront Mortgage Insurance Premium can increase the new loan balance. All other costs, including origination charges, title changes and escrow, must be paid as cash at closing by the borrower, or credited by the loan officer in full.
What is the FHA?
FHA stands for the Federal Housing Administration, an agency of the U.S. government created in 1934 to help Americans get into homes.
Where can I find FHA forms and other literature?
A great source for FHA forms and information is https://www.hud.gov/topics/buying_a_home.
What is the FHA loan limit in my area?
The loan limit across the country is different. Click here to see limits in your area.
Can an FHA loan help me lower energy costs?Yes. Through the Energy Efficient Mortgage Program you can finance 100 percent of the cost of making your home more energy efficient.
Are FHA loans assumable?
Absolutely. You can assume an existing FHA loan or allow a buyer to assume yours.
Will I have to pay mortgage insurance with an FHA loan?
FHA mortgages require you to carry mortgage insurance, often for longer than most conventional loans.