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First time home-buyer? Need a low-down payment or down payment assistance? An FHA  (Federal Housing Administration), may be the perfect loan program for you. Borrowers can qualify for loans that include 3.5% of the total loan amount to be used for down payment and closing costs for home purchases across the state. FHA loans are desirable because often you can qualify with less particular credit requirements.

FHA Loan Requirements and Details

  • Down Payment: If you qualify,3.5% of the total loan amount for your home purchase can be included in the loan reducing out-of-pocket costs; or down payments as low as 3.5%.
  • Mortgage Insurance: You'll need to pay for insurance that protects the lender in case you can't pay back the loan.
  • Credit Score: You need a minimum credit score of 640, which is like a grade for how well you handle money and debts.
  • Debt-to-Income Ratio: This checks if you earn enough money to pay your debts and the new home loan.
  • Loan Limits: There's a maximum amount you can borrow, and it can change based on where the home is located.
  • Proof of Income: You need to show you have a job or a regular source of money to pay back the loan.
  • Primary Residences Only: The FHA loan is for homes you plan to live in, not for vacation or rental properties.
  • FHA-Approved Appraiser: Your chosen home must be checked and valued by a professional who is approved by the FHA.
All loans subject to credit approval.

What is an FHA loan?

This type of mortgage loan is offered by the Federal Housing Administration (FHA). Borrowers can qualify for loans that include 3.5% of the total loan amount to be used for down payment and closing costs for home purchases if they qualify; otherwise a down payment as low as 3.5% and more flexible credit requirements. FHA loans are popular with first-time home buyers in Oklahoma.

The experts at F&M Bank, familiar with Oklahoma's real estate nuances, are available to guide you through the process, ensuring you make informed decisions. While the FHA loan offers numerous benefits, especially for Oklahomans, it's crucial to weigh all factors and consult with local mortgage professionals to determine if it's the right choice for your home-buying journey.

Apply Online for an FHA loan in Oklahoma City!

To start the FHA loan application process, you can apply online, contact us, or visit your nearest branch location in Edmond, Guthrie OK, Kingfisher OK, Piedmont OK, Crescent OK, Yukon, OK, Greater Oklahoma City.

What is an FHA home mortgage, and how does it differ from other types of home loans?

An FHA home mortgage is a home loan that is insured by the Federal Housing Administration (FHA). This type of loan is designed to help first-time homebuyers and those with lower credit scores or limited down payment funds. FHA loans typically require lower down payments and have more flexible credit requirements compared to conventional home loans. Learn more about the benefits of FHA home loans on our website.

What are the eligibility requirements for an FHA home mortgage?

To qualify for an FHA home mortgage, you must meet certain requirements, such as a minimum credit score of 640, a steady employment history, and a debt-to-income ratio within acceptable limits. Additionally, the property you wish to purchase must meet specific FHA appraisal standards. Visit our FHA home loans page for more information on eligibility requirements.

How much down payment is required for an FHA home mortgage?

FHA home mortgages typically require a down payment as low as 3.5% of the purchase price, which is significantly lower than the 20% down payment often required for conventional loans. You could also qualify for 3.5% of the purchase price to be included in the total loan amount to help with the down payment or closing costs. This makes FHA loans an attractive option for first-time homebuyers or those with limited funds for a down payment. Discover more about mortgage loans and the options available at F&M Bank.

Are there any additional costs associated with FHA home mortgages?

Yes, FHA home mortgages have additional costs, such as mortgage insurance premiums (MIP). These premiums protect the lender in case the borrower defaults on the loan. FHA loans require both upfront and annual mortgage insurance premiums, which can be financed into the loan or paid separately. Explore the various mortgage loan options we offer to find the best fit for your needs.

Can I use an FHA home mortgage to purchase an investment property or rental property?

FHA home mortgages are generally intended for primary residences only. However, F&M Bank offers various loan options for purchasing investment or rental properties. Visit our website or contact us to discuss your investment property financing needs.

How can I apply for an FHA home mortgage with F&M Bank?

Applying for an FHA home mortgage with F&M Bank is simple. Visit our mortgage loans page to start your application, or contact us to speak with one of our mortgage professionals who can guide you through the process. We're here to help you achieve your homeownership goals