FHA Loan Mortgage Rates & Requirements in Denver

FHA Loan Mortgage Rates & Requirements in Denver

What separates an FHA loan from a conventional loan? The biggest difference between these two loan types that US Mortgages in Denver offers, is that FHA loans are backed by the US Federal Government, specifically the Federal Housing Administration.

Who qualifies for a Federal Housing Administration (FHA) Loan?

The FHA program was developed to make loans accessible to people who could only afford a low down payment or who had less than perfect credit in the 1930's. Since then, the program has helped countless Americans pursue their dream of home ownership. Denver's FHA requirements include a credit score of 560+ and a down payment of 3.5% to qualify borrowers for an FHA loan, though there are other factors including steady employment, LTV and DTI ratios that can impact eligibility.

A less-than-perfect credit score doesn't have to mean the end of the line when searching for a home. At US Mortgages, we believe that everyone should have the opportunity to purchase their own home at affordable rates. That's why we pledge to work with you to create a loan specific to your financial situation, ensuring your success while keeping you on budget.

What are the advantages and disadvantages to FHA Loans?

The FHA Loans rate requires that borrowers in Denver purchase personal mortgage insurance (PMI). When speaking with an expert from our Denver office, we will be sure to go over these items with you if you are not familiar with PMI. Because of the safety net that mortgage insurance provides to the lender, we are able to offer loans at traditionally lower interest rates. While FHA loans do require a down payment, mortgage insurance lowers the total amount. Those with quality credit scores can purchase a home with down payments as low as 3.5%, however less desirable credit scores can require a minimum down payment of a least 10%.

If you're wanting to know if what FHA home loan rates are available for you and will help you and your family reach their financial goals, contact US Mortgages in Denver! Feel free to provide us your contact information as well as any initial questions you may possess about an FHA Mortgage. You can also give us a call and get the ball rolling on your FHA Loan and future of home ownership in Denver today!

Pre-Qualify In Minutes, With No Impact To Your Credit Score

With just some basic information, you are on your way to your new Home. In most cases, our agents will call you in a few minutes to get things started. In some rare events it could be up to 24 hours. We always try to call between 8am and 5pm MST, so we don’t disturb you after hours. If you would prefer we did call outside those ours, please just add in a note and we will be happy to oblige.

Why should I get pre approved for my home loan or refinancing?

Home loan pre approval in Denver simplifies the loan process. Preapproval allows a lender to see a full 360 degree view of the borrower's financial situation, enabling us to advise borrowers on all home loan considerations. This helps us identify which loan we offer is the best fit for the borrower. Prequalification allows borrowers to pursue the loan that's best for them and their financial situation.

How can I get ready for home loan prequalification in Denver?

Excellent question! A great place to start is by understanding what lenders look at. For the most part, lenders look at 4 things. The first is your FICO credit score which includes your payment history, credit utilization and the length of your credit history. The second is your income with respect to your monthly housing costs. The third is the number of current loans you have and their status. The fourth and final thing lenders consider is the percentage of the cost of the home you're looking to purchase that you can put as a down payment. Get ready for prequalification by understanding your status in these areas and identifying what you can do to improve them before buying a home.

About US Mortgages

US Mortgages has been securing mortgage pre approval in Denver for over 20 years. Let us know how to reach out to you, or give us a call today.

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Pre-qualification means one of our mortgage specialists will contact you. This does not represent an offer to enter into a loan agreement. Loans subject to credit and property approval. Normal credit qualifications and other terms and conditions apply. Not all loan products or terms are available in all states.