General Guidelines - FHA First Time Home Buyer Loan

If you have never bought a house before, an FHA first time home buyer loan could be the way to go. The FHA, or Federal Housing Agency, has made it possible for many people to buy homes that were not previously able. There are a few advantages to using an FHA loan. One of the biggest advantages of first time home buyer programs is that you can purchase a home with a small down payment. Many traditional mortgages require that you come up with a large percentage of the loan out of your pocket. This eliminates many people that would otherwise have purchased a house. 

In addition to the low down payment, the government is backing the loan. This means that more people will be able to qualify for the loans that they need. When lenders know that they will get their money back upon default, they are more likely to loan to you, even if your credit is not perfect. As a result, the loan guidelines are a little more relaxed and more people can qualify for the financing.

How to Apply

Applying for an FHA loan is just as simple as applying for any other mortgage. Just go into your local bank or mortgage lender and ask them about their FHA programs. They will provide you with the necessary forms to fill out. 

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