4 Pros and Cons of an FHA Mortgage

4 Pros and Cons of an FHA Mortgage

Pros of FHA mortgage:

  1. Low down payment: An FHA loan requires as little as 3.5% down, making homeownership accessible for many first-time buyers.
  2. More lenient credit requirements: FHA loans often have lower credit score requirements compared to conventional loans.
  3. Higher debt-to-income ratio allowed: FHA allows higher debt-to-income ratios, making it easier for some borrowers to qualify for a loan.
  4. Available for all property types: FHA loans can be used to finance single-family homes, multi-family properties, and manufactured homes.

Cons of FHA mortgage:

  1. Mortgage insurance: FHA loans require mortgage insurance, which adds to the monthly payment and can increase the overall cost of the loan.
  2. Limited loan amount: FHA loan limits may be lower in certain areas, limiting the amount a borrower can finance.
  3. Appraisal process: The FHA appraisal process is more stringent than that of conventional loans and may lead to lower property values.
  4. Upfront mortgage insurance premium: Borrowers are required to pay an upfront mortgage insurance premium, which can add to the closing costs of the loan.
9760 Properties
Page 1 of 814
2
Beds
2
Baths
1,775
Sq.Ft.
1
Day on Site
11897771
MLS
You'll call this renovation - exquisite when you see it in person! Highest floor available for this - 1775 square foot - 2-bedroom, north facing floor plan with a modern, inspired design at The...
Open 10/1
3711 W 60th St Chicago,  IL 60629
3
Beds
2
Baths
2,000
Sq.Ft.
1
Day on Site
11897724
MLS
No short cuts taken to make This home very solid and unique. Features four bedrooms two full bathrooms, finished basement, hardwood flooring, new kitchen, new plumbing new electrical, new windows...
1
Beds
1
Baths
717
Sq.Ft.
1
Day on Site
11882527
MLS
Charming Single family home in the heart of Pilsen ready for your finishing touches! Featuring a well-lit living room and an eat-in kitchen with vinyl plank flooring. On the main level, you'll find a...
3
Beds
2
Baths
1,040
Sq.Ft.
1
Day on Site
11895491
MLS
Welcome to this beautifully maintained 3 bedroom, 2 full bath home nestled in sought after Mount Greenwood neighborhood. This home has many recent upgrades which include a new roof on both the home...
1
Beds
1
Baths
1
Day on Site
11897725
MLS
NEWLY REHABBED & MOVE-IN-READY JAMES HOUSE JUNIOR ONE BEDROOM. ALL NEW KITCHEN SATIN FINISH CABINETS & HIGH-RESOLUTION COUNTERTOPS & BREAKFAST BAR + NEW MICROWAVE W/ HOOD, DISHWASHER & FRIDGE...
6
Beds
3
Baths
1
Day on Site
11897020
MLS
New roof, new porch, upgraded electrical panels; all complete with permits, plans and passed inspections. Interiors rehabbed in 2013, huge kitchens, large bathrooms, separate dining rooms and...
4
Beds
4F11/2
Baths
4,027
Sq.Ft.
1
Day on Site
11897808
MLS
Prepare to be enchanted by this stunning Rogers Park French Provincial stone and brick castle-like home. Situated on an oversized gated lot with a 2 car garage and private gated guest parking. You...
1
Beds
1
Baths
750
Sq.Ft.
1
Day on Site
11897799
MLS
Experience breathtaking lake views in this beautifully updated 1-bedroom unit beside the beach and parks! Revel in the expansive interiors, complemented by oak floors and tall ceilings. The home...
Open 10/1
3001 W Logan Blvd #G Chicago,  IL 60647
2
Beds
1
Baths
1,100
Sq.Ft.
1
Day on Site
11897827
MLS
LOCATION, LOCATION, LOCATION!! Live on the boulevard in the heart of Logan Square! On the corner of Logan and Sacramento, this English garden unit has it all only 2 steps down , big windows, hardwood...
4
Beds
2F11/2
Baths
1,650
Sq.Ft.
1
Day on Site
11897832
MLS
Motivated sellers! This classic Victorian gem perfectly marries classic charm with contemporary comforts. Nestled in a serene neighborhood, this 4-bedroom, 2-full bathrooms, 1-half bathroom home...
1
Beds
1
Baths
740
Sq.Ft.
1
Day on Site
11897842
MLS
In-unit laundry! Monthly assessment includes heat! Charming vintage home, freshly painted and ready to move in! Hardwood floors throughout, newer windows, spacious foyer. Flexible floor plan: The...
3
Beds
1F11/2
Baths
3,125
Sq.Ft.
1
Day on Site
11892645
MLS
Nicely maintained property, with fenced. spacious front yard. Perfect for investment or owner occupant, Property is currently occupied.

Post a Comment