Understanding FHA Loans for First-Time Buyers

FHA loans are backed by the Federal Housing Administration and are designed to help first-time buyers achieve homeownership with more flexible requirements.

Key Benefits

• Lower down payment: As low as 3.5% with a credit score of 580+
• Flexible credit requirements: Scores as low as 500 may qualify
• Competitive interest rates: Often lower than conventional loans

Requirements

1. Minimum credit score of 500-580
2. Debt-to-income ratio below 43%
3. Property must be your primary residence
4. Must pay mortgage insurance premium (MIP)

Is an FHA Loan Right for You?

FHA loans are ideal if you: - Have limited savings for a down payment - Have a lower credit score - Are buying your first home

Contact a lender to explore your options and get pre-approved today.