The FHA loan has come as a life saver for those who have not been able to come up with enough money for making the conventional down payment on their dream home.
As with any loan, there are some procedures which I am here to help you navigate for securing an FHA loan:
The first thing you will need is your social security number and proof of residence in the country. You will also need to furnish proof that you are over legal age, i.e., 18. Personal identification such as a drivers license will suffice. The next step is to get a copy of your credit report. This is primarily for you to know if you will be able to handle the loan by yourself. The FHA does not give much importance to this as a method of analyzing your credit worthiness. The FHA usually looks only at bankruptcies and foreclosures. Next, the FHA will evaluate your income and certify whether you will be able to repay the loan or not. They will do an in depth analysis of all your incomes. The best part is, if you fall short of the minimum wage limit, you still have the option of getting a second job top increase your income. The final step involves making a small down payment of at least 3.5% and preparing your collateral.
Make sure that these steps are done properly and the loan process should be smooth. Just to be safe, make sure that all your papers have been filed and prepared in advance. This way you will be well on your way to owning your dream home soon.