FHA Home Mortgage Loans

Lenders Nationwide offers borrower’s premium government loan products, including fixed-rate and adjustable-rate mortgage options for both FHA and VA eligible borrowers.

Find a Local Broker or Mortgage Lender in your neighborhood! Search for lenders and shop interest rates with the top home mortgage lenders online. Get free quotes for mortgage refinance and with programs for bad credit, rate and term, debt consolidation and cash out.

FHA Government loan products are an alternative to nonprime and conventional home financing for homebuyers who qualify for homeownership based on flexible qualifying guidelines:

• No income restrictions (Stated or Full-Doc options)
• Bad-Credit loans are often allowed
• Larger share of income qualifies towards the monthly payments

•	Competitive FHA Mortgage Rates
•	Get Rate Quotes from Top Mortgage Lenders
•	Search from Top FHA Home Loan Programs
•	Choose from Home Purchase or Refinance
•	Select from Fixed, Variable, Interest Only or Negative Amortization Rate Options

Our FHA Government products are ideal for first-time homebuyers and also homeowners looking to move into a larger home or to refinance into a more favorable rate.

FHA home mortgages are insured to protect mortgage lenders in case of a default on the loan. An FHA home mortgage is a popular loan to many Americans because of the minimal cash deposit needed to close on a home purchase. FHA loans are not funded by US tax dollars, but from the revenue generated by FHA home mortgage insurance. This cost is picked up by the homebuyer, but the insurance fees continue up to five years later, or when the FHA mortgage balance is 78% of the property value, whichever occurs last. Other home loans have stricter loan requirements, but FHA home loans have better payment schedules and more lenient guidelines for calculating a borrower’s income. If you aren’t sure why an FHA loan may be right for you, ask your Lenders Nationwide to analyze the pros and cons between the FHA home mortgage and traditional conforming home loans.

FHA Loan products offer borrowers:

• Low down payment option
• Down payment assistance programs
• Easy guidelines
• Streamlined refi process
• VA products offer most active duty personnel, reservists, and veterans
• No down payment option
• Limited closing costs
• Streamlined process

Homeowner Benefits:

• Accessibility - Lenders Nationwide makes it easier to send all your government loans to us by providing its clients accessibility to a broad range of the most popular FHA/VA products available.
• Expertise - Lenders Nationwide Home Mortgage is the leading originator of FHA/VA loans nationwide.*

Borrower Benefits:

• Low- to no-down-payment options and the opportunity to fund a down payment with a gift or grant.
• More flexibility for borrowers with less-than-perfect, nontraditional, or limited credit histories.
• Lower initial interest rates with several fixed-rate periods from which to choose.
• Lower monthly payments.

Over the past few years, the Federal Housing Authority has become less and less important. Subprime lenders offering high-cost loans won away many of the moderate-income first-time homebuyers who used to count on an FHA guarantee to snare a mortgage. Home prices rose far above FHA lending limits, set by Congress and unchanged for years. And though the agency streamlined some of its procedures, it still takes far longer than 24 hours to approve an FHA loan, unlike the instant gratification that lures eager buyers to hard-marketing subprime lenders. The number of loans guaranteed by the FHA dropped two-thirds nationally from 1999 to 2006. Now, the FHA's resurrection may be at hand. Legislation aimed at modernizing obsolete FHA loan standards is back in Congress, having died quietly last fall after passing the House. Then, nobody much cared. They do now, says Megan Booth, senior policy representative for the National Association of Realtors.

"This is a critical window for mortgage lending. There's all this congressional concern about the subprime mess, with horror stories in every district. This is our time to get Congress to say: 'If we can reform this program, we can give people a viable alternative that's not risky like these crazy loans,'" she says. There have been many hearings from Congress recently regarding subprime lending. FHA reform can't be a bailout to subprime problems, but it can be a solution." Sweeping changes in the mortgage market this decade "shut them out. Now, there's an opening," agrees Ann Grochala, director of lending and accounting policy for the Independent Community Bankers of America. If the Expanding American Homeownership Act of 2007 does pass, it would allow the FHA to consider what consumers have to pay for loan guarantees as determined by their credit histories; increase the amount it guarantees and thus come closer to the cost of houses in more expensive, usually urban, markets; and make it easier to purchase condominiums with FHA loan guarantees, lowering the first step into homeownership in pricey areas.

The modernization bill would raise the limit to 100 % of the loan limit allowed by mortgage purchasers Fannie Mae and Freddie Mac for high-cost areas, and from 48 % to 67 % of the limit in lower-cost areas. "If it were increased, it would provide more options," says Delbert Reynolds, Wisconsin field office director for the FHA. "Loan limits aren't the only issue. One of the points of modernizing is to do some catch-up with other tools, like not requiring a down payment." That is one of the controversial provisions in the modernization proposal put forth by the Department of Housing and Urban Development, which includes the FHA: eliminating the requirement for a down payment of at least 3%. The new requirement would be some type of cash contribution by the buyer at some point in the purchase process. If the modernization legislation passes, it might bring the FHA into the 21st century, where it faces more competition than ever for historically overlooked moderate-income homebuyers. Suddenly sober subprime lenders have stiffened loan standards, to stanch losses and head off regulation, but they're still making loans.