FHA Home Loan Programs In Georgia
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FHA Home Loans  For All States:
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Yes, FHA has loan limits and they vary from county to county, state to state.
Are you buying your first home? An FHA loan could provide exactly what you need. FHA makes competitive
interest rates available to people who normally would not qualify for mortgages at their local bank due to their
tougher lending requirements. Since 1934 the Federal Housing Administration (FHA) has helped over 34 million
people fulfill their dream of home ownership.

Biggest difference between a FHA Home Loan and a Conventional Loan:
1. Lower then normal credit scores accepted: We have lenders that accept credit scores down to the low 500's
and exceptions can be made on a case by case basis for those who have below 500. For those applicants with less
then a 500 credit score some type of compensating factors will be required to increase the chances of an approval
regardless of credit score. Examples of compensating factors: down payment greater then 3.5%, a large amount of
assets, very low income to debt ratios or a co-signer.
- With conventional loans the best interest rates are reserved to those applicants with credit scores over 740.
- FHA loan limits go as high as $726,750 while the conventional loan limit is $417,000. This means you maybe able
borrow more money at a lower rate with a FHA loan.
- For purchases our FHA lenders require a minimum credit score of 580 for the minimum down payment while
conventional lenders would require a 680 credit score for the minimum down payment of 5%.
2. Low Down payments Requirements: - For purchases FHA lenders require a minimum 3.5% down payment
which be gifted from a relative, charitable organization or a housing assistance program. Conventional lenders don't
allow the initial 5% down payment be a gift.
3. No Pre-payment Penalties: This means that you can refinance or sell at any time without any fear of having to
pay any additional fees which could add up to thousands of dollars.
4. Fixed Rate Loans Available: Fixed rate loans provide the same monthly payment over the life of the loan and
homeowners are able to build equity in their property by making the same monthly principal and interest payment.  
5. Closing Costs: With a FHA Loan up to 3% of the closing costs can be paid by seller, it used to be 6%.
6. Mortgage Insurance: FHA's monthly mortgage insurance payment is about half of the price comparable to a
conventional loan.
FHA Has A Employer Assisted Housing (EAH) Program
You may be concerned about not having enough money for a down payment. Or are you concerned that you won't
have enough money for move-in expenses? If so a no money down mortgage might be what it takes to get you into
your own home. With these types of loan programs you don't need to make a down payment but you must apply for
employer-assisted. Ask your employer if they participate

Down Payment Assistance (DPA) Programs for FHA Loans. Whether this your is your first or the third home
saving for a down payment can be a difficult. Many interested home buyers have not saved enough money to cover
the closing costs and the down payment so they rent instead of owning a home. FHA does allow for public charity
organizations to assist with the down payment for the purchase of a home.
- The Neighborhood Down Payment (DPA) Assistance program allows home buyers to purchase a home with no
down payment and no closing costs by providing the money with no need of repayment. This DPA program is not
limited to first time home buyers but must be used in conjunction with a FHA loan. You may receive anywhere from
3% to 10% towards your down payment and closing costs dependant on the amount of participation from the seller.
In order to take advantage of this program you must be prepared ahead of making any offer on a home since this
program requires participation from the seller and it must be negotiated before finalizing your offer. Be aware there is
a 1% fee (not to exceed $1,000) for the use of this program and can be paid at closing from the grant or by the
seller so make a point to also include this in your negotiations.

FHA Offers Flexibility
You can chose from a Fixed-Rate mortgage or a Adjustable Rate Mortgage (ARM).  The rates for ADJUSTABLE
RATE LOANS will stay fixed for the first 1,3 or 5 years (you decide) and after the initial term the interest rate will
change annually.

FHA Monthly Mortgage Insurance  will equal 0.25% up to 1.15% of the total loan amount. This amount is about
half of the price of mortgage Insurance on a conventional loan but once the loan balance reaches 78 percent the
mortgage insurance will be removed from the total monthly payment.

Upfront FHA Mortgage Insurance can be financed: in addition to the monthly mortgage insurance FHA charges
a 1 time upfront fee equal to 2.25% of the loan amount. This upfront mortgage insurance premium is deposited into
a national escrow account which was set up by the US Treasury Dept. to help offset any losses due to homeowners
defaulting on their mortgages.
Home Loans with little or no down payment even with less than perfect credit
Since 1995  FHA has placed a great deal of importance on marketing to first-time home buyers and minorities.
Today FHA loans account for more than 21% of all new home mortgages up from the low of 4% just 3 years ago.
FHA Loans Soar In Popularity As Loan Limits Are Raised Throughout The United States!
Does FHA Have A Refinance Program?(click here)
Yes, FHA has multiple programs
1. Streamline Refinance: No cash out allowed but very limited paperwork required to qualify.
2. Traditional FHA Refinance: Allows for cash out up to 95% of appraised value.
3. FHA Secure: Lets homeowners facing a rate increase in their adjustable rate mortgage to convert into a
government backed fixed rate loan.
4.On Sept 7th we will start accepting applications for the Short Refinance Program allowing for credit
scores down to 500