FHA loans have been helping people become homeowners since 1934. How do we do it? The Federal Housing Administration (FHA) – which is part of HUD – insures the loan, so your lender can offer you a better deal. An FHA Loan is here to help borrowers who might not have a huge down payment. The minimum down payment is 3.5% for a purchase and FHA allows for more flexible underwriting guidelines with lower credit scores.

• Low down payment
• Low closing costs
• Easy credit qualifying

What does FHA have for you?

Buying your first home?
FHA might be just what you need. Your down payment can be as low as 3.5% of the purchase price. Available on 1-4 unit properties.

Financial help for seniors
Are you 62 or older? Do you live in your home? Do you own it outright or have a low loan balance? If you can answer “yes” to all of these questions, then the FHA Reverse Mortgage might be right for you. It lets you convert a portion of your equity into cash.

Want to make your home more energy efficient?
You can include the costs of energy improvements into an FHA Energy-Efficient Mortgage.

How about manufactured housing and mobile homes?
Yes, FHA has financing for mobile homes and factory-built housing. We have two loan products – one for those who own the land that the home is on and another for mobile homes that are – or will be – located in mobile home parks. https://www.hud.gov/

• The ability to pay a 3.5% down payment is the general min: The borrower’s credit score will fluctuate from lender to lender ranging from 580 – 620 or higher
• Minimum of two years employment: Must have verifiable, steady, and consistent income. You will need documentation. It can include tax returns, pay stubs, or W-2s. This requirement is the same for borrowers who are employees and those who are self-employed.
• Mortgage insurance: The ability to pay the mortgage insurance premium (MIP) is required. The dollar amount of MIP will be calculated based on the amount of the loan. However, all FHA loans will require borrowers to pay an upfront MIP of 1.75%. This is in addition to monthly mortgage insurance, which is required for the life of the loan.
• Higher home inspection standards: The property must pass an FHA-specific appraisal.
• Loan must be for a principal residential property: FHA loans cannot be used for rentals, investing in properties, or vacation homes. They are also not available for business properties.
• A debt-to-income ratio of less than 57%: A person’s debt-to-income (DTI) ratio is the percentage of their gross monthly income they spend to cover debts. Debts can include student loans, credit cards, and any type of federal debt.

New 2023 FHA Loan Limit in Texas $472,030

Texas FHA Mortgage Loans is the easiest mortgage and most lenient loan to qualify for. They offer a low down payment and are available to homebuyers with less than perfect credit.

For more information about FHA loans, their benefits and loan options and how it may apply to you, please contact us direct or submit the quick quote form on this page.