Brainerd FHA Loan Rates, Closing Costs & Stats

Brainerd, MN

FHA loans are mortgages created in the 1930's to help insulate lenders from credit risks and help promote home ownership. The Federal Housing Administration (hence, FHA) allows for lower downpayments and credit scores-- making these loans much more accessible than traditional mortgages.

FHA loans typically need just a 3.5% downpayment with credit scores of 580 or better. For credit scores between 500-579, the downpayment needs to be at least 10%.

While FHA loans make home ownership much more accessible to first-time homebuyers, they do require PMI (purchase money insurance)-- an additional insurance premium that is paid to the FHA to help cover defaults.

For additional requirements as defined by the FHA, click here.

Brainerd's 42 lenders originated 155 FHA loans during 2024. The total origination value was $36,765,000, with an average FHA loan value of $237,194.

Brainerd FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Brainerd averaged 0.27% for the week of 2025-06-20, compared to the national average (all FHA variants) of 0% for the same period.

Brainerd's average FHA mortgage closing costs are $8,000.

The average rate for the prior week (2025-06-13) was 6.75% and one month ago for the week of 2025-05-16, the average rate was 6.91%.

The average rate one year ago was 6.87%.

For refis of the same type during the week of 2025-06-20, the average rate was 0.14%.

Click on whitespace and scroll within the chart to zoom in/out. Larger bubbles equate with more originations.

Brainerd FHA Loan Lenders by Rates & Fees

The below table looks at the average fees/closing costs and rates for FHA 30 Year Fixed Rate (purchase, first lien) mortgages originated by each lender at the Brainerd level.

Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
QUICKEN LOANS, LLC 20 6.25% $12,331
UNITED WHOLESALE MORTGAGE, LLC 13 6.18% $13,153
LOANDEPOT.COM, LLC 7 6.64% $9,353
Granite Community Bank 6 6.65% $10,212
CROSSCOUNTRY MORTGAGE, LLC 5 6.50% $12,702
BROKER SOLUTIONS, INC. 5 6.78% $11,192
AMERICAN PACIFIC MORTGAGE CORPORATION 4 6.94% $12,326
PRIMELENDING, A PLAINSCAPITAL COMPANY 4 6.59% $7,748
Prosperity Home Mortgage, LLC 4 6.50% $9,966
First Western Bank & Trust 4 6.13% $10,164
Flagstar Bank, FSB 4 6.08% $7,492
American Mortgage & Equity Consultants, Inc. 3 5.92% $9,760
EVERETT FINANCIAL, INC. 3 6.63% $7,494
PENNYMAC LOAN SERVICES, LLC 3 6.17% $10,662
PLAZA HOME MORTGAGE, INC. 3 7.04% $9,123
Servion, Inc. 3 6.58% $9,329
Century Mortgage Company DBA Century Lending Company 2 6.44% $11,418
CARDINAL FINANCIAL 2 6.25% $17,017
Plains Commerce Bank 2 6.75% $9,841
FREEDOM MORTGAGE CORPORATION 2 6.62% $8,594
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 2 7.00% $11,686
Waterstone Mortgage Corporation 1 6.63% $21,553
Barrington Bank & Trust Company, N.A. 1 6.75% $10,745
Bell Bank 1 6.00% $16,991
CITY FIRST MORTGAGE SERVICES, L.L.C. 1 7.13% $8,288
Equity Prime Mortgage LLC 1 6.00% $16,016
GUARANTEED RATE, INC. 1 6.73% $9,918
GUILD MORTGAGE COMPANY 1 6.38% $10,299
HOMEOWNERS FINANCIAL GROUP USA, LLC 1 7.00% $7,116
LADERA LENDING, INC. 1 6.75% $7,529
MILEND, INC. 1 6.13% $10,345
Mortgage Research Center, LLC 1 6.13% $7,967
MOVEMENT MORTGAGE, LLC 1 7.00% $8,326
Mr. Cooper ( Nationstar Mortgage ) 1 6.75% $8,939
MUTUAL OF OMAHA MORTGAGE, INC. 1 6.75% $20,004
NATIONS DIRECT MORTGAGE, LLC 1 6.63% $26,208
Paramount Bank 1 6.63% $6,404
PREMIA MORTGAGE, LLC 1 5.60% $8,607
Royal Credit Union 1 7.00% $11,150
TOWNE MORTGAGE COMPANY 1 6.63% $10,898
UNION HOME MORTGAGE CORP. 1 6.50% $16,517
VILLAGE CAPITAL MORTGAGE 1 5.63% $14,079

The top Brainerd FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 20 FHA loans originated. Their average total fees are $12,331, which is $823 lower than the next largest lender, UNITED WHOLESALE MORTGAGE, LLC.

The lowest fee Brainerd FHA lenders (with over 10 loans originated) are QUICKEN LOANS, LLC ($12,331), UNITED WHOLESALE MORTGAGE, LLC ($13,153), .

The lowest rate Brainerd FHA lenders (with over 10 loans originated) are UNITED WHOLESALE MORTGAGE, LLC (6.18%), QUICKEN LOANS, LLC (6.25%), .

Brainerd FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
BRAINERD, MN CASS 2022 $420,680 $538,650 $651,050 $809,150
BRAINERD, MN CROW WING 2022 $420,680 $538,650 $651,050 $809,150
BRAINERD, MN CASS 2023 $472,030 $604,400 $730,525 $907,900
BRAINERD, MN CROW WING 2023 $472,030 $604,400 $730,525 $907,900

FHA Loan Requirements

  • Borrowers must have a steady employment history or worked for the same employer for the past two years.
  • Borrowers must have a valid Social Security number, lawful residency in the U.S. and be of legal age to sign a mortgage in your state.
  • Borrowers must pay a minimum down payment of 3.5 percent. The money may be gifted by a family member. (Traditional mortgages do not permit gifted down payments)
  • New FHA loans are only available for primary residence occupancy.
  • Borrowers must have a property appraisal from a FHA-approved appraiser.
  • Borrowers’ front-end ratio (mortgage payment plus HOA fees, property taxes, mortgage insurance, homeowners insurance) needs to be less than 31 percent of their gross income, typically. You may be able to get approved with as high a percentage as 40 percent. Your lender will be required to provide justification as to why they believe the mortgage presents an acceptable risk. The lender must include any compensating factors used for loan approval.
  • Borrowers’ debt to income ratio (mortgage plus all your monthly debt, i.e., credit card payment, car payment, student loans, etc.) needs to be less than 43 percent of their gross income, typically. You may be able to get approved with as high a percentage as 50 percent.
  • Borrowers must have a minimum credit score of 580 for maximum financing with a minimum down payment of 3.5 percent.
  • Borrowers must have a minimum credit score of 500-579 for maximum LTV of 90 percent with a minimum down payment of 10 percent.
  • Bborrowers must be two years out of bankruptcy and have re-established good credit. Exceptions can be made.
  • Typically borrowers must be three years out of foreclosure and have re-established good credit.
  • The purchased property must meet certain minimum standards at appraisal. If the home you are purchasing does not meet these standards and a seller will not agree to the required repairs, your only option is to pay for the required repairs at closing (to be held in escrow until the repairs are complete).