Freeport FHA Loan Rates, Closing Costs & Stats

Freeport, IL

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    • 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.

    Freeport's 31 lenders originated 88 FHA loans during 2023. The total origination value was $10,890,000, with an average FHA loan value of $123,750.

    Freeport FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Freeport averaged 6.23% for the week of 2024-11-08, compared to the national average (all FHA variants) of 6.425% for the same period.

    Freeport's average FHA mortgage closing costs are $5,414.

    The average rate for the prior week (2024-11-01) was 6.61% and one month ago for the week of 2024-10-04, the average rate was 5.83%.

    The average rate one year ago was 7.17%.

    For refis of the same type during the week of 2024-11-08, the average rate was 6.53%.

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

    Freeport 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 Freeport level.

    Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
    GREENSTATE CREDIT UNION 16 6.52% $5,252
    QUICKEN LOANS, LLC 9 6.52% $7,048
    UNITED WHOLESALE MORTGAGE, LLC 6 6.76% $7,469
    Blackhawk Bank 4 6.41% $5,904
    ENVOY MORTGAGE, LTD 4 6.00% $5,861
    U.S. Bank 3 6.00% $5,040
    ACADEMY MORTGAGE CORPORATION 2 7.00% $8,179
    AMERISAVE MORTGAGE CORPORATION 2 6.69% $9,781
    BROKER SOLUTIONS, INC. 2 7.00% $6,571
    CHURCHILL MORTGAGE CORPORATION 2 6.19% $6,569
    CROSSCOUNTRY MORTGAGE, LLC 2 7.00% $7,181
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 2 5.94% $5,716
    FREEDOM MORTGAGE CORPORATION 2 6.50% $8,103
    Mortgage Research Center, LLC 2 7.75% $4,509
    Flanagan State Bank 1 7.13% $10,760
    AMERICAN PACIFIC MORTGAGE CORPORATION 1 5.50% $10,565
    COMPASS MORTGAGE, INC. 1 6.00% $6,415
    GUARANTEED RATE, INC. 1 7.25% $6,423
    HOMESIDE FINANCIAL, LLC 1 7.75% $10,109
    JPMorgan Chase Bank 1 6.75% $1,249
    LOANDEPOT.COM, LLC 1 7.13% $8,792
    ZILLOW HOME LOANS, LLC 1 6.63% $10,974
    Neighborhood Loans, Inc. 1 6.00% $8,131
    NEWREZ LLC 1 6.75% $5,726
    Plains Commerce Bank 1 7.25% $4,502
    PLANET HOME LENDING, LLC 1 6.63% $8,139
    PLAZA HOME MORTGAGE, INC. 1 5.25% $5,980
    CARDINAL FINANCIAL 1 4.99% $13,051
    DAS Acquisition Company, LLC 1 7.63% $7,300
    Barrington Bank & Trust Company, N.A. 1 6.13% $7,365
    FIRST CENTENNIAL MORTGAGE CORPORATION 1 6.00% $5,099

    The top Freeport FHA lender as defined by loan originations is GREENSTATE CREDIT UNION, with 16 FHA loans originated. Their average total fees are $5,252, which is $1,796 lower than the next largest lender, QUICKEN LOANS, LLC.

    The lowest fee Freeport FHA lenders (with over 10 loans originated) are GREENSTATE CREDIT UNION ($5,252), .

    The lowest rate Freeport FHA lenders (with over 10 loans originated) are GREENSTATE CREDIT UNION (6.52%), .

    Freeport FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    FREEPORT, IL STEPHENSON 2022 $420,680 $538,650 $651,050 $809,150
    FREEPORT, IL STEPHENSON 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).