Huntsville FHA Loans

HUNTSVILLE, AL

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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.

    Huntsville's 130 lenders originated 2,314 FHA loans during 2021. The total origination value was $480,450,000, with an average FHA loan value of $207,627.

    Huntsville FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Huntsville averaged 5.24% for the week of 2022-05-20, compared to the national average (all FHA variants) of 5.352% for the same period.

    The average rate for the prior week (2022-05-13) was 5.34% and one month ago for the week of 2022-04-15, the average rate was 4.83%.

    The average rate one year ago was 2.91%.

    For refis of the same type during the week of 2022-05-20, the average rate was 5.17%.

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

    Huntsville FHA Loan Lenders by Rates & Fees

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

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    QUICKEN LOANS, LLC 260 2.71% $5,769
    LOANDEPOT.COM, LLC 166 3.10% $8,607
    Hometown Lenders, Inc. 135 3.16% $8,378
    DHI MORTGAGE COMPANY, LTD. 81 2.83% $6,741
    FREEDOM MORTGAGE CORPORATION 77 2.87% $4,238
    FirstBank 73 3.02% $7,650
    UNITED WHOLESALE MORTGAGE, LLC 63 2.70% $7,961
    Mr. Cooper ( Nationstar Mortgage ) 60 3.32% $4,588
    PENNYMAC LOAN SERVICES, LLC 54 2.90% $4,897
    CERTAINTY HOME LOANS, LLC 52 2.99% $8,775
    LAKEVIEW LOAN SERVICING, LLC 43 3.05% $4,409
    DSLD MORTGAGE, LLC 40 2.74% $5,596
    MOVEMENT MORTGAGE, LLC 40 3.09% $6,717
    CALIBER HOME LOANS, INC. 37 2.84% $6,169
    VANDERBILT MORTGAGE AND FINANCE, INC. 33 3.19% $8,018
    VILLAGE CAPITAL & INVESTMENT LLC 29 3.00% $2,212
    Synovus Bank 28 2.87% $7,883
    TJC Mortgage, Inc. 27 3.20% $7,568
    HOME POINT FINANCIAL CORPORATION 26 2.83% $6,385
    Progress Bank and Trust 26 2.47% $7,039
    BROKER SOLUTIONS, INC. 25 3.50% $7,624
    First Federal Bank, A FSB 24 2.93% $5,777
    Trustmark National Bank 23 2.69% $7,797
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 23 3.13% $6,430
    First Option Mortgage, LLC 22 3.72% $9,090
    Flagstar Bank, FSB 18 2.82% $7,201
    GMFS LLC 17 3.07% $6,355
    BancorpSouth Bank 16 2.99% $6,453
    NEWREZ LLC 16 2.85% $5,028
    SOUTHWEST FUNDING, LP 16 3.39% $9,455
    FIRST COMMUNITY MORTGAGE, INC. 15 2.76% $8,119
    Hamilton Mortgage Corporation 15 2.55% $6,623
    AMERISAVE MORTGAGE CORPORATION 15 2.97% $8,231
    Assurance Financial Group, L.L.C. 14 3.13% $7,438
    HOMEBRIDGE FINANCIAL SERVICES, INC. 14 2.83% $5,320
    ISERVE RESIDENTIAL LENDING, LLC 14 3.27% $12,689
    Regions Bank 14 2.88% $7,262
    PLANET HOME LENDING, LLC 14 2.94% $7,029
    FBC MORTGAGE, LLC 14 3.06% $8,427
    INTERLINC MORTGAGE SERVICES, LLC 11 3.11% $7,546
    ACOPIA, LLC 11 3.16% $8,193
    Carrington Mortgage Services, LLC 10 3.24% $7,682
    AmeriHome Mortgage Company, LLC 10 2.91% $4,026
    PRIMELENDING, A PLAINSCAPITAL COMPANY 9 3.15% $8,153
    South State Bank 9 2.99% $7,127
    NFM, INC. 9 3.39% $8,675
    The Federal Savings Bank 9 2.88% $8,522
    First Horizon Bank 9 2.79% $7,665
    Renasant Bank 9 3.01% $7,736
    First Guaranty Mortgage Corporation 8 2.81% $5,058
    Magnolia Bank 8 2.84% $6,375
    BAYSHORE MORTGAGE FUNDING, LLC 7 3.57% $7,396
    FINANCE OF AMERICA MORTGAGE LLC 7 3.07% $8,261
    Nations Lending Corporation 6 3.23% $12,318
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 6 2.98% $8,783
    GENEVA FINANCIAL, LLC 6 3.63% $9,242
    RELIANCE FIRST CAPITAL, LLC 6 2.98% $10,763
    CIS Financial Services, Inc. 6 3.40% $7,531
    Bank of England 5 3.23% $8,982
    PREMIA MORTGAGE, LLC 5 2.83% $6,175
    CMG MORTGAGE, INC. 5 2.88% $8,610
    SUMMIT FUNDING, INC. 5 3.90% $8,312
    NATIONS DIRECT MORTGAGE, LLC 4 3.25% $8,531
    FirstTrust Home Loans, Inc. 4 2.97% $7,440
    AMERICAN FINANCIAL NETWORK, INC. 4 4.09% $12,040
    Ameris Bank 4 3.19% $7,116
    EMBRACE HOME LOANS, INC. 4 3.06% $7,700
    KELLER MORTGAGE, LLC 4 2.72% $6,544
    Alcova Mortgage LLC 3 2.75% $5,381
    MID AMERICA MORTGAGE, INC. 3 2.63% $1,717
    MUTUAL OF OMAHA MORTGAGE, INC. 3 3.33% $8,863
    Mortgage Research Center, LLC 3 2.71% $6,439
    MORTGAGE INVESTORS GROUP, INC. 3 3.08% $7,319
    BBVA USA 3 2.71% $3,307
    CROSSCOUNTRY MORTGAGE, LLC 3 2.75% $9,895
    LEADERONE FINANCIAL CORPORATION 2 3.25% $7,903
    GSF Mortgage Corporation 2 3.13% $10,526
    GUILD MORTGAGE COMPANY 2 3.00% $5,809
    EVERETT FINANCIAL, INC. 2 3.13% $6,181
    HUNT MORTGAGE CORPORATION 2 2.94% $8,433
    InterContinental Capital Group, Inc 2 2.69% $6,304
    Colten Mortgage, LLC 2 3.75% $8,029
    NATIONWIDE MORTGAGE BANKERS, INC. 2 3.44% $5,834
    Citizens Bank 2 2.94% $5,699
    Northpointe Bank 2 3.19% $6,225
    OCEANSIDE MORTGAGE COMPANY 2 2.50% $3,629
    PRIMARY RESIDENTIAL MORTGAGE, INC. 2 3.81% $7,345
    Cadence Bank, N.A. 2 2.56% $7,365
    SouthPoint Bank 2 3.00% $7,448
    SOUTHPOINT FINANCIAL SERVICES, INC. 2 2.88% $9,428
    Bank Independent 2 2.75% $7,810
    SOVEREIGN LENDING GROUP INCORPORATED 2 3.06% $6,273
    SUCCESS MORTGAGE PARTNERS, INC. 2 3.25% $7,415
    UNION HOME MORTGAGE CORP. 2 3.63% $5,243
    Wells Fargo Bank 2 3.13% $6,856
    PNC Bank 1 2.63% $5,907
    DELMAR FINANCIAL COMPANY 1 2.50% $7,288
    Truist Bank 1 3.13% $6,738
    JPMorgan Chase Bank 1 2.75% $9,068
    AMERICAN FINANCIAL RESOURCES, INC. 1 3.25% $4,036
    Prosperity Home Mortgage, LLC 1 3.00% $9,139
    Equity Prime Mortgage LLC 1 3.00% $8,036
    Barrington Bank & Trust Company, N.A. 1 3.25% $8,303
    HOMESTAR FINANCIAL CORPORATION 1 3.38% $5,862
    HOMESIDE FINANCIAL, LLC 1 3.38% $7,192
    RESIDENTIAL WHOLESALE MORTGAGE, INC. 1 3.50% $6,755
    ROYAL UNITED MORTGAGE LLC 1 3.13% $10,087
    Waterstone Mortgage Corporation 1 3.88% $7,162
    UNITED SECURITY FINANCIAL CORP 1 2.38% $5,967
    GUARANTY MORTGAGE SERVICES, L.L.C. 1 3.25% $12,214
    A Mortgage Boutique, LLC 1 3.00% $5,288
    AMCAP MORTGAGE, LTD. 1 2.63% $6,144
    STOCKTON MORTGAGE CORPORATION 1 3.13% $9,751
    GUARANTEED RATE, INC. 1 2.88% $4,879
    First Federal Bank 1 2.75% $8,064
    Gateway First Bank 1 3.00% $7,311
    The Central Trust Bank 1 2.50% $6,689
    MORTGAGE SOLUTIONS OF COLORADO, LLC 1 2.75% $10,184
    MICHIGAN MUTUAL, INC. 1 3.00% $5,819
    COMMUNITY MORTGAGE CORPORATION 1 2.88% $5,230
    AMERICAN PACIFIC MORTGAGE CORPORATION 1 3.13% $6,580
    AMERICAN FINANCING CORPORATION 1 2.63% $8,953
    LENDUS, LLC 1 2.75% $9,571
    Total Media Management, LLC 1 2.75% $8,369
    TOWNE MORTGAGE COMPANY 1 3.50% $6,988
    Paramount Residential Mortgage Group, Inc. 1 3.25% $4,776
    CELEBRITY HOME LOANS, LLC 1 3.25% $9,702
    Peoples Bank 1 3.00% $7,272
    Pinnacle Bank 1 2.63% $7,767
    CB&S Bank, Inc. 1 2.25% $6,284

    The top Huntsville FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 260 FHA loans originated. Their average total fees are $5,769, which is $2,838 lower than the next largest lender, LOANDEPOT.COM, LLC.

    The lowest fee Huntsville FHA lenders (with over 10 loans originated) are VILLAGE CAPITAL & INVESTMENT LLC ($2,212), AmeriHome Mortgage Company, LLC ($4,026), FREEDOM MORTGAGE CORPORATION ($4,238), LAKEVIEW LOAN SERVICING, LLC ($4,409) and Mr. Cooper ( Nationstar Mortgage ) ($4,588).

    The lowest rate Huntsville FHA lenders (with over 10 loans originated) are Progress Bank and Trust (2.47%), Hamilton Mortgage Corporation (2.55%), Trustmark National Bank (2.69%), UNITED WHOLESALE MORTGAGE, LLC (2.70%) and QUICKEN LOANS, LLC (2.71%).

    Huntsville FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    HUNTSVILLE, AL LIMESTONE 2022 $420,680 $538,650 $651,050 $809,150
    HUNTSVILLE, AL MADISON 2022 $420,680 $538,650 $651,050 $809,150

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Huntsville (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Price (YoY Change) Average Listing Price (YoY) MSA/US Median Price Ratio Active Listings
    2018-01-01 $237,000 (10.2%) $282,529 (9.0%) 0.87 2,227
    2018-02-01 $241,204 (11.3%) $288,409 (10.1%) 0.87 2,090
    2018-03-01 $248,500 (13.5%) $293,152 (10.3%) 0.86 2,067
    2018-04-01 $256,450 (16.6%) $305,811 (13.2%) 0.86 2,051
    2018-05-01 $256,000 (12.6%) $307,480 (11.2%) 0.85 2,062
    2018-06-01 $249,900 (9.2%) $303,334 (9.4%) 0.83 2,147
    2018-07-01 $250,420 (8.9%) $308,223 (10.5%) 0.84 2,133
    2018-08-01 $254,400 (12.5%) $308,065 (10.5%) 0.85 2,130
    2018-09-01 $257,745 (12.1%) $307,100 (9.1%) 0.86 2,127
    2018-10-01 $254,896 (10.9%) $305,434 (8.9%) 0.85 2,089
    2018-11-01 $254,203 (10.5%) $303,818 (7.1%) 0.85 2,040
    2018-12-01 $254,687 (10.7%) $303,318 (8.0%) 0.87 1,951
    2019-01-01 $252,450 (6.5%) $298,893 (5.8%) 0.87 1,788
    2019-02-01 $257,818 (6.9%) $305,667 (6.0%) 0.86 1,710
    2019-03-01 $264,186 (6.3%) $315,360 (7.6%) 0.86 1,643
    2019-04-01 $268,231 (4.6%) $322,962 (5.6%) 0.84 1,554
    2019-05-01 $270,258 (5.6%) $323,712 (5.3%) 0.83 1,548
    2019-06-01 $273,900 (9.6%) $328,818 (8.4%) 0.84 1,563
    2019-07-01 $274,803 (9.7%) $335,982 (9.0%) 0.85 1,533
    2019-08-01 $274,832 (8.0%) $335,247 (8.8%) 0.86 1,468
    2019-09-01 $274,929 (6.7%) $335,163 (9.1%) 0.87 1,394
    2019-10-01 $274,944 (7.9%) $331,611 (8.6%) 0.88 1,440
    2019-11-01 $275,000 (8.2%) $333,229 (9.7%) 0.89 1,336
    2019-12-01 $274,118 (7.6%) $335,056 (10.5%) 0.91 1,250
    2020-01-01 $279,500 (10.7%) $343,367 (14.9%) 0.93 1,148
    2020-02-01 $284,900 (10.5%) $348,742 (14.1%) 0.92 1,053
    2020-03-01 $289,900 (9.7%) $359,576 (14.0%) 0.91 1,002
    2020-04-01 $287,810 (7.3%) $353,874 (9.6%) 0.90 1,086
    2020-05-01 $289,900 (7.3%) $354,778 (9.6%) 0.88 1,224
    2020-06-01 $295,450 (7.9%) $360,109 (9.5%) 0.86 1,118
    2020-07-01 $296,250 (7.8%) $370,799 (10.4%) 0.85 1,080
    2020-08-01 $300,000 (9.2%) $374,088 (11.6%) 0.86 1,050
    2020-09-01 $299,900 (9.1%) $369,794 (10.3%) 0.86 1,004
    2020-10-01 $297,400 (8.2%) $365,832 (10.3%) 0.85 996
    2020-11-01 $299,450 (8.9%) $370,817 (11.3%) 0.86 956
    2020-12-01 $304,033 (10.9%) $374,343 (11.7%) 0.89 952
    2021-01-01 $322,861 (15.5%) $383,617 (11.7%) 0.95 810
    2021-02-01 $350,565 (23.1%) $408,964 (17.3%) 1.01 642
    2021-03-01 $352,350 (21.5%) $416,337 (15.8%) 0.99 549
    2021-04-01 $337,450 (17.3%) $414,751 (17.2%) 0.91 494
    2021-05-01 $345,000 (19.0%) $418,951 (18.1%) 0.91 468
    2021-06-01 $316,477 (7.1%) $400,786 (11.3%) 0.82 355
    2021-07-01 $320,950 (8.3%) $410,343 (10.7%) 0.83 406
    2021-08-01 $324,125 (8.0%) $417,167 (11.5%) 0.85 523
    2021-09-01 $341,950 (14.0%) $437,393 (18.3%) 0.90 514
    2021-10-01 $345,000 (16.0%) $441,879 (20.8%) 0.91 525
    2021-11-01 $351,250 (17.3%) $459,654 (24.0%) 0.93 489
    2021-12-01 $362,900 (19.4%) $477,200 (27.5%) 0.97 441
    2022-01-01 $374,494 (16.0%) $487,198 (27.0%) 1.00 349
    2022-02-01 $369,950 (5.5%) $482,212 (17.9%) 0.94 348
    2022-03-01 $411,950 (16.9%) $478,914 (15.0%) 1.02 475
    2022-04-01 $400,000 (18.5%) $474,698 (14.5%) 0.94 567
    Huntsville's median listing price for 2022-04-01 was $400,000, a difference of $62,550 (18.5%) versus the prior year and $-11,950 versus the prior month.

    Huntsville's median listing price comes in at 94% of the national average.

    Huntsville's average listing price for 2022-04-01 was $474,698, a difference of $59,947 (14.5%) versus the prior year and $-4,216 versus the prior month.

    For the 2022-04-01 period, Huntsville had 567 MLS listings, a difference of 92 listings (19%) versus the prior month and 73 listings (15%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Huntsville (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 96 days 2,433 sqft
    2018-02-01 96 days 2,464 sqft
    2018-03-01 81 days 2,497 sqft
    2018-04-01 72 days 2,544 sqft
    2018-05-01 66 days 2,536 sqft
    2018-06-01 64 days 2,500 sqft
    2018-07-01 66 days 2,503 sqft
    2018-08-01 72 days 2,506 sqft
    2018-09-01 79 days 2,533 sqft
    2018-10-01 85 days 2,518 sqft
    2018-11-01 90 days 2,506 sqft
    2018-12-01 95 days 2,505 sqft
    2019-01-01 105 days 2,485 sqft
    2019-02-01 99 days 2,490 sqft
    2019-03-01 101 days 2,521 sqft
    2019-04-01 61 days 2,540 sqft
    2019-05-01 53 days 2,529 sqft
    2019-06-01 51 days 2,543 sqft
    2019-07-01 57 days 2,577 sqft
    2019-08-01 60 days 2,557 sqft
    2019-09-01 59 days 2,533 sqft
    2019-10-01 58 days 2,524 sqft
    2019-11-01 63 days 2,513 sqft
    2019-12-01 71 days 2,500 sqft
    2020-01-01 79 days 2,504 sqft
    2020-02-01 70 days 2,488 sqft
    2020-03-01 48 days 2,509 sqft
    2020-04-01 43 days 2,490 sqft
    2020-05-01 42 days 2,497 sqft
    2020-06-01 45 days 2,500 sqft
    2020-07-01 52 days 2,500 sqft
    2020-08-01 49 days 2,503 sqft
    2020-09-01 45 days 2,432 sqft
    2020-10-01 45 days 2,400 sqft
    2020-11-01 46 days 2,420 sqft
    2020-12-01 51 days 2,395 sqft
    2021-01-01 55 days 2,407 sqft
    2021-02-01 58 days 2,517 sqft
    2021-03-01 42 days 2,413 sqft
    2021-04-01 33 days 2,414 sqft
    2021-05-01 22 days 2,390 sqft
    2021-06-01 11 days 2,320 sqft
    2021-07-01 12 days 2,325 sqft
    2021-08-01 16 days 2,339 sqft
    2021-09-01 22 days 2,379 sqft
    2021-10-01 22 days 2,349 sqft
    2021-11-01 21 days 2,381 sqft
    2021-12-01 30 days 2,401 sqft
    2022-01-01 34 days 2,460 sqft
    2022-02-01 15 days 2,400 sqft
    2022-03-01 12 days 2,464 sqft
    2022-04-01 16 days 2,458 sqft
    Huntsville's median listing age (time on market) for 2022-04-01 was 16 days. This is -51% shorter than the same period one year ago.

    Huntsville's median square footage for active listings during the 2022-04-01 period was 2,458 sqft. One year prior, the average listing was 2,414 sqft.

    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).