Individuals find FHA loans come with a low down payment and less stringent credit requirements, reports AMCAP Mortgage-NHB
Spring, TX -- (SBWIRE) -- 04/28/2015 -- AMCAP Mortgage announces Texas FHA loans come with flexible qualifications, allowing more individuals to purchase homes. Those who have been denied a home loan due to an insufficient down payment or less than ideal credit find they may meet the fha home loan qualifications. Anyone wishing to know more about FHA eligibility will find AMCAP Mortgage to be of great help in answering questions and explaining the process of obtaining a loan.
"Income qualifications and requirements tend to be less stringent than most mortgages offered today. Individuals aren't required to have held a specific job for a certain period of time in order to qualify, but the borrower's employment will be verified for a two year period prior to the loan application. Lenders need to know the borrower can repay the loan, and this information is required to ensure that is the case," Gerry Nicodemus, spokesperson for AMCAP Mortgage-NHB, explains.
In addition to considering one's income when determining if a borrower qualifies for an FHA loan, the lender takes into account his or her debt to income ratio. Lenders wish to know the borrower will be able to repay the loan without experiencing undue financial hardship, a problem seen during the recent housing bubble. Each lender uses different criteria to determine if a borrower qualifies for a loan, yet the FHA guidelines allow a debt to income ratio as high as 50 percent, with some AMCAP Mortgage allowing a debt income ratio of 57 percent in some situations.
One benefit of obtaining an FHA loan is there are no savings requirements with this type of mortgage loan, Nicodemus explains. One thing to be aware of, however, is the FHA does require documentation of a large non-payroll deposit. The borrower must be able to explain credibly where this money came from. Doing so may be easy if a borrower transfers money between accounts, yet when the funds are obtained from another source, documentation will be needed. Borrowers must be prepared to meet this requirement.
Individuals often worry they won't qualify due to a lack of credit or financial difficulties in the past. The FHA works with borrowers in this situation and works with those who have a 580 FICO score. Lenders may require a higher credit score, but this is determined by the lender. Individuals choosing to work with AMCAP Mortgage find they may obtain approval in minutes if they have a credit score of 620 or higher.
"Contact AMCAP Mortgage today to learn more about FHA loans. The lender is committed to helping individuals finance their new residence and works with the FHA to make this happen. AMCAP Mortgage, making use of FHA loans, makes home ownership possible for more people and you may be one of them," Nicodemus declares.
About AMCAP Mortgage-NHB
AMCAP Mortgage is an authorized FHA lender specializing in FHA home loans throughout the state of Texas and a registered mortgage banking entity with the Texas Department of Savings and Mortgage Lending. All employees remain committed to providing outstanding customer service to ensure smooth transactions for all, and the mortgage process has been streamlined to make it efficient and pleasant.