FHA Refinancing and FHA Home Loans
The federal government insures FHA Home Loans so that mortgage bankers like New American Funding can offer funding to those who traditionally struggle to find financing. That means our loans have less stringent qualifications, and we can offer more opportunities for homeowners and homebuyers, whether need a home purchase loan or are refinancing your home mortgage.
FHA Home Loan: Buy a Home without a Huge Down Payment
Government insured FHA Home Loans are a popular loan for first time homebuyers because you do not need to have a significant amount of money for a down payment. Typically, buyers can put as little as 3 percent down, and there are less stringent debt ratios and job requirements. Other benefits include:
- Lower FICO credit scores allowed
- Lower monthly mortgage insurance
- Lower closing costs
- Improve or upgrade your home
- Can use gifts toward the home down payment
New American Funding offers FHA Home Loans with Fixed Rate Mortgages and Adjustable Rate Mortgages rates with flexible terms. To find out more about buying a home with an FHA Home Loan, contact one of our mortgage specialists.
FHA Refinance Loan
New American Funding can help you refinance your home with an FHA loan, even if you have less than perfect credit. Many homeowners who have difficulty paying their mortgage often move from a conventional to an FHA Loan, which can lower your interest rate and monthly payments. Other uses for an FHA Loan include:
- Improve or upgrade your home. You can use an FHA 203(k) Home Improvement Loan to pull money out for home improvements and repairs.
- Avoid foreclosure. Facing a foreclosure is hard. New American Funding can help you save your home by refinancing to a low interest, low-monthly payment FHA Loan.
- Pull cash out from the equity in your home. There are many reasons that you may need a cash out refinance. We can help you get the money you need without having to use high-interest credit cards or loans.
As an FHA Direct Endorsement (DE) and Government Approved Lender, we can offer you a wide variety of FHA loans. Even if you have a history of credit problems, we may still be able to help you qualify for a variety of loans such as:
- FHA 30 Year Fixed Rate Loan: A fixed-rate loan with low interest rates and monthly payments. Generally, requires a small down payment and can be obtained by buyers with low credit scores.
- FHA 15 Year Fixed-Rate Loan: Similar to the 30 year fixed rate loan, in that it offers the benefit of a stable monthly mortgage payment, except that the interest you pay over the life of the loan is significantly less because the loan is expected to be paid in half the time.
- FHA 5/1 Adjustable Rate Mortgage: The initial interest rate is valid for the first five years; after that, your rate is determined by market values. This loan is good for buyers who plan to own the home for a short time because introductory interest rates are typically very low.
- FHA 203(k) 30 Year Fixed Rate Loan: The 203(k) loan program allows borrowers special financing to buy a fixer-upper with enough extra money to complete necessary renovations.
- FHA Streamline 5/1 Adjustable Rate Mortgage (Refinance): FHA Streamline refinance loans traditionally require less documentation than a traditional loan. In addition, there is no appraisal required. The FHA 5/1 ARM establishes low initial interest rate for the first five years; after that, your interest rates will fluctuate depending on market interest rates. Adjustable Rate Mortgages typically have the lowest rates and can be useful if you plan on selling the home in the near future.
- FHA Streamline 30 Year Fixed Rate Loan (Refinance): Designed to either lower your payment by lowering your current interest rate or to convert an FHA Adjustable Rate Mortgage into a fixed rate mortgage. Again, the FHA Streamline requires less documantation that a traditional loan and there is no appraisal required. Generally, this loan is easy to apply for and may not require qualifying debt ratios or income verification.
- FHA 203(k) Streamline 30 Year Fixed Rate Loan (Refinance): The FHA 203(k) allows borrowers to pull out up to $35,000 in equity to pay for home improvements or renovations.
Contact a licensed New American Funding associate today to find out how you can achieve your financial goals with an FHA home loan.