– FHA loans are federally assisted mortgages that are insured by the FHA (federal housing administration). fha loans allow borrowers who have low down payment needs to qualify for a mortgage and purchase a home. We can help you to qualify for an FHA loan even if you have low credit.
At Mid America Mortgage, Inc., we’re pleased to offer FHA mortgage financing assistance to borrowers with credit scores down to 580. This product is available to both those looking to buy properties and homeowners seeking to refinance. If your credit scores falls in the 580-639 range, then our low FICO score mortgage program might be right.
You can qualify for an FHA loan with a credit score as low as 500 with 10 percent down. To get FHA’s maximum financing, you need a credit score of 580 or higher and 3.5 percent down.
· The official minimum FHA credit score for 2016 is 500, according to HUD. But this may be too low for some mortgage lenders, making it a moot point.
Many lenders will not accept scores below 620 for an FHA loan, some lenders that can accept a 580 score. There are lenders that offer loans to borrowers with scores under 580 with 10% down. However, these loans are very difficult and there is a good chance the loan will not close.