FHA Loan Requirements
Get one of the Best Home Loans - this loan is not just for first time home buyer loans - This loan can be for a purchase or even a refinance

FHA Loan Requirements Simplified

This is a basic list of the requirements you need to meet to qualify for a FHA loan.  There can be minimal exceptions and you will want to find a seasoned loan officer who knows the in and outs of a FHA especially if your looking to get a bad credit FHA loan.

One thing you might want to do is to check out your credit report before talking to a loan officer.

1. Social Security number for each person to be on the loan
2. All previous addresses of where you lived for the past two years
3. Employment information for the past two years
4. Your two most recent paycheck stubs
5. Last two years W-2's If self employed you will need your personal tax returns for past two years
6. Current balance on your checking, saving and 401k accounts
7. Information on any outstanding debts

Other FHA Loan Requirements

Your mortgage payment can't exceed 29% of your gross monthly income.  To get this number you will need to know your principal and interest payment, mortgage insurance premium, monthly escrow for taxes and insurance, and if your house has home owner dues how much that is each month.   Don't worry where to get these numbers if your are using a knowledgeable real estate agent or loan officer they will be able to provide them for you.  You then add all those up and then divide by your gross monthly income (gross monthly income is before taxes).

Now the next FHA loan requirements say not to exceed a 41% debt to income ratio.  take the total monthly payment above and add in all recurring monthly payments.  these can be car loans, student loan, credit cards, child support etc..  Then divide this new number by your gross monthly income and hopefully its below 41%.

Credit History - nickname bad credit FHA loans and the reason this name fits so well for FHA loans is that FHA has much loser restriction on credit history then conventional loans. 

If you filed a chapter 7 bankruptcy you only have to wait two years pass the discharge date to qualify for a FHA loan.  Of course you would have had to keep your credit in good shape since those two years.

If you happened to file Chapter 13 bankruptcy and you have made payments on time for one year then you should qualify.

Had a foreclosure then you should qualify for an FHA loan if its been more than 3 years and you have kept your credit up since then.

If you have any collection, judgments or federal debts these will need to be paid prior to closing.

This FHA loan requirements list is only a guideline and your next step is to find a qualified loan officer to help you down your path to home ownership.

Another site with FHA loan requirements is the HUD website itsself.

 Source: http://4kcmortgage.com

 
 Top of page