Lancaster FHA Loans

LANCASTER, PA

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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.

    Lancaster's 125 lenders originated 1,603 FHA loans during 2021. The total origination value was $323,105,000, with an average FHA loan value of $201,563.

    Lancaster FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Lancaster averaged 5.18% for the week of 2022-05-13, compared to the national average (all FHA variants) of 5.361% for the same period.

    The average rate for the prior week (2022-05-06) was 5.31% and one month ago for the week of 2022-04-08, the average rate was 5.08%.

    The average rate one year ago was 3.19%.

    For refis of the same type during the week of 2022-05-13, the average rate was 5.01%.

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

    Lancaster 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 Lancaster level.

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    QUICKEN LOANS, LLC 178 2.77% $6,738
    RESIDENTIAL MORTGAGE SERVICES, INC. 82 3.03% $8,342
    CROSSCOUNTRY MORTGAGE, LLC 77 3.14% $9,477
    Sierra Pacific Mortgage Company, Inc. 59 2.91% $7,632
    CALIBER HOME LOANS, INC. 56 2.87% $7,951
    PENNYMAC LOAN SERVICES, LLC 55 2.92% $5,561
    FREEDOM MORTGAGE CORPORATION 53 2.87% $5,897
    Mr. Cooper ( Nationstar Mortgage ) 53 3.33% $4,972
    BROKER SOLUTIONS, INC. 41 3.31% $9,083
    Fulton Bank 40 2.92% $7,488
    LAKEVIEW LOAN SERVICING, LLC 40 3.10% $5,589
    GUILD MORTGAGE COMPANY 36 3.22% $8,638
    LOANDEPOT.COM, LLC 29 3.20% $8,896
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 29 3.13% $7,366
    Citizens Bank 25 3.02% $8,406
    Homesale Mortgage, LLC 24 2.94% $7,977
    UNITED WHOLESALE MORTGAGE, LLC 18 2.79% $8,401
    EMM LOANS LLC 18 3.00% $8,341
    AmeriHome Mortgage Company, LLC 17 2.79% $5,720
    MEMBERS 1ST FEDERAL CREDIT UNION 16 2.78% $8,073
    GUARANTEED RATE, INC. 16 2.84% $8,708
    NEWREZ LLC 15 2.79% $6,179
    VILLAGE CAPITAL & INVESTMENT LLC 15 2.89% $2,848
    Manufacturers and Traders Trust Company 14 2.90% $8,286
    UNION HOME MORTGAGE CORP. 13 3.15% $9,216
    MOVEMENT MORTGAGE, LLC 13 3.12% $7,894
    Meridian Bank Corporation 12 2.97% $9,369
    Keystone Funding, Inc. 12 2.96% $7,192
    HOMEBRIDGE FINANCIAL SERVICES, INC. 12 3.00% $9,880
    Lakeview Community Capital, LLC 10 2.89% $6,210
    Carrington Mortgage Services, LLC 9 3.00% $8,647
    GUARANTEED RATE AFFINITY, LLC 9 2.99% $7,528
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 9 2.93% $10,372
    AMERISAVE MORTGAGE CORPORATION 8 2.86% $10,207
    FINANCE OF AMERICA MORTGAGE LLC 8 3.08% $9,544
    Paramount Residential Mortgage Group, Inc. 7 3.36% $10,359
    MUTUAL OF OMAHA MORTGAGE, INC. 7 3.20% $8,907
    HOME POINT FINANCIAL CORPORATION 7 2.73% $8,556
    ALLIED MORTGAGE GROUP, INC. 6 3.06% $9,617
    Northpointe Bank 6 2.75% $9,937
    NFM, INC. 6 3.13% $10,709
    MCLEAN MORTGAGE CORPORATION 6 3.06% $8,546
    InterContinental Capital Group, Inc 5 2.93% $8,236
    TIDEWATER MORTGAGE SERVICES, INC. 5 3.18% $7,314
    Mortgage America, Inc. 5 2.95% $7,442
    HOMESTEAD FUNDING CORP. 5 3.15% $7,978
    AMERICAN FINANCING CORPORATION 4 2.59% $7,623
    York Traditions Bank 4 2.78% $8,136
    Mortgage Network, Inc. 4 3.16% $10,261
    AMERICAN FINANCIAL NETWORK, INC. 4 2.81% $16,753
    CONTOUR MORTGAGE CORPORATION 4 3.31% $9,311
    1ST PREFERENCE MORTGAGE CORP. 3 3.08% $11,550
    Advisors Mortgage Group, L.L.C. 3 2.75% $7,989
    Bank of England 3 3.21% $9,328
    BAYSHORE MORTGAGE FUNDING, LLC 3 3.58% $12,256
    HOWARD HANNA FINANCIAL SERVICES, INC. 3 3.25% $9,035
    Orrstown Bank 3 2.67% $7,687
    Santander Bank, N.A. 3 2.83% $6,937
    The Ephrata National Bank 3 2.88% $6,440
    UNITED SECURITY FINANCIAL CORP 3 2.50% $5,817
    Wells Fargo Bank 3 3.13% $3,829
    GENEVA FINANCIAL, LLC 2 3.75% $10,536
    Firstrust Savings Bank 2 3.06% $10,036
    MDE Home Loans, LLC 2 2.75% $9,572
    MEMBER FIRST MORTGAGE, LLC 2 3.38% $7,746
    FIRST ALLIANCE HOME MORTGAGE, LLC 2 3.19% $7,177
    MID AMERICA MORTGAGE, INC. 2 3.44% $2,616
    Equity Prime Mortgage LLC 2 2.88% $5,727
    NATION ONE MORTGAGE CORPORATION 2 3.63% $14,441
    Nations Lending Corporation 2 3.50% $8,430
    NJ LENDERS CORP. 2 2.87% $9,268
    Northwest Bank 2 2.94% $6,379
    Univest Bank and Trust Co. 2 3.25% $8,847
    PNC Bank 2 3.00% $7,311
    PRIMARY RESIDENTIAL MORTGAGE, INC. 2 3.44% $9,286
    Prosperity Home Mortgage, LLC 2 3.38% $9,695
    Residential Mortgage Solutions, Inc. 2 2.75% $8,532
    STEARNS LENDING, LLC 2 2.56% $6,747
    ZILLOW HOME LOANS, LLC 2 3.31% $6,961
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 2 2.81% $8,419
    AMERICAN FINANCIAL RESOURCES, INC. 2 3.00% $9,356
    Gateway First Bank 2 3.06% $11,288
    EMBRACE HOME LOANS, INC. 1 3.88% $8,745
    GREENWAY MORTGAGE FUNDING CORP. 1 2.38% $6,918
    The Federal Savings Bank 1 3.75% $9,404
    NBKC BANK 1 2.75% $9,463
    East Coast Capital Corp. 1 3.13% $12,842
    DRAPER AND KRAMER MORTGAGE CORP. 1 2.95% $8,691
    APEX HOME LOANS, INC. 1 2.75% $6,856
    Customers Bank 1 2.25% $5,705
    TOP FLITE FINANCIAL, INC. 1 3.75% $15,757
    OCEANSIDE MORTGAGE COMPANY 1 2.25% $2,726
    OCMBC, INC. 1 3.24% $8,692
    Truist Bank 1 3.25% $6,960
    CMG MORTGAGE, INC. 1 2.75% $14,469
    CHURCHILL MORTGAGE CORPORATION 1 3.25% $5,668
    PHH Mortgage Corporation 1 3.13% $4,365
    PIKE CREEK MORTGAGE SERVICES, INC. 1 3.63% $3,615
    Integrity Home Mortgage Corp 1 2.88% $10,606
    UNITED MORTGAGE CORP. 1 3.25% $8,998
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 3.25% $9,111
    ABSOLUTE HOME MORTGAGE CORPORATION 1 2.63% $10,413
    BELEM SERVICING LLC 1 2.75% $8,152
    RELIANCE FIRST CAPITAL, LLC 1 2.63% $10,064
    BELCO COMMUNITY CREDIT UNION 1 3.25% $9,415
    Flagstar Bank, FSB 1 2.39% $5,211
    LENDUS, LLC 1 3.13% $7,939
    HOMESPIRE MORTGAGE CORPORATION 1 2.88% $8,368
    Magnolia Bank 1 2.63% $12,747
    First National Bank of Pennsylvania 1 2.63% $7,178
    FIRST HERITAGE FINANCIAL, LLC 1 3.13% $5,482
    Alcova Mortgage LLC 1 3.00% $3,135
    Bank of America 1 2.63% $11,905
    First Guaranty Mortgage Corporation 1 3.38% $4,332
    SOVEREIGN LENDING GROUP INCORPORATED 1 3.25% $7,191
    MICHIGAN MUTUAL, INC. 1 3.00% $6,186
    HOMESIDE FINANCIAL, LLC 1 2.38% $13,692
    Mid Penn Bank 1 2.75% $7,174
    MILEND, INC. 1 2.88% $7,506
    MLD MORTGAGE INC. 1 3.25% $11,003
    FAY SERVICING, LLC 1 2.75% $8,531
    FAMILY FIRST FUNDING LLC 1 3.25% $6,869
    Mortgage Research Center, LLC 1 2.75% $7,940
    SUN WEST MORTGAGE COMPANY, INC. 1 2.88% $4,358
    ENVOY MORTGAGE, LTD 1 4.50% $12,673

    The top Lancaster FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 178 FHA loans originated. Their average total fees are $6,738, which is $1,604 lower than the next largest lender, RESIDENTIAL MORTGAGE SERVICES, INC..

    The lowest fee Lancaster FHA lenders (with over 10 loans originated) are VILLAGE CAPITAL & INVESTMENT LLC ($2,848), Mr. Cooper ( Nationstar Mortgage ) ($4,972), PENNYMAC LOAN SERVICES, LLC ($5,561), LAKEVIEW LOAN SERVICING, LLC ($5,589) and AmeriHome Mortgage Company, LLC ($5,720).

    The lowest rate Lancaster FHA lenders (with over 10 loans originated) are QUICKEN LOANS, LLC (2.77%), MEMBERS 1ST FEDERAL CREDIT UNION (2.78%), UNITED WHOLESALE MORTGAGE, LLC (2.79%), NEWREZ LLC (2.79%) and AmeriHome Mortgage Company, LLC (2.79%).

    Lancaster FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    LANCASTER, PA LANCASTER 2022 $420,680 $538,650 $651,050 $809,150

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Lancaster (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 $259,900 (5.2%) $296,472 (3.3%) 0.96 1,222
    2018-02-01 $269,700 (10.1%) $307,268 (6.2%) 0.97 1,169
    2018-03-01 $274,900 (11.3%) $315,738 (7.9%) 0.95 1,155
    2018-04-01 $269,995 (8.9%) $310,733 (4.8%) 0.91 1,214
    2018-05-01 $275,000 (10.0%) $316,735 (4.6%) 0.92 1,207
    2018-06-01 $275,000 (10.0%) $317,224 (4.9%) 0.92 1,284
    2018-07-01 $275,000 (10.6%) $320,266 (6.7%) 0.92 1,332
    2018-08-01 $274,900 (11.2%) $321,069 (8.1%) 0.92 1,321
    2018-09-01 $274,900 (10.0%) $321,473 (9.1%) 0.92 1,302
    2018-10-01 $272,250 (8.9%) $322,768 (8.9%) 0.91 1,305
    2018-11-01 $269,900 (8.0%) $320,442 (10.4%) 0.90 1,313
    2018-12-01 $274,900 (8.1%) $323,370 (12.1%) 0.94 1,248
    2019-01-01 $276,945 (6.6%) $325,366 (9.8%) 0.96 1,190
    2019-02-01 $279,450 (3.6%) $327,927 (6.7%) 0.94 1,121
    2019-03-01 $287,709 (4.7%) $335,781 (6.4%) 0.94 1,079
    2019-04-01 $295,214 (9.3%) $343,095 (10.4%) 0.93 1,071
    2019-05-01 $292,450 (6.4%) $341,949 (8.0%) 0.90 1,115
    2019-06-01 $289,900 (5.4%) $346,400 (9.2%) 0.89 1,133
    2019-07-01 $288,700 (5.0%) $347,206 (8.4%) 0.90 1,107
    2019-08-01 $288,386 (4.9%) $349,334 (8.8%) 0.91 1,077
    2019-09-01 $293,400 (6.7%) $353,782 (10.1%) 0.93 1,034
    2019-10-01 $291,880 (7.2%) $349,641 (8.3%) 0.93 1,074
    2019-11-01 $294,900 (9.3%) $347,591 (8.5%) 0.95 1,039
    2019-12-01 $299,900 (9.1%) $354,777 (9.7%) 1.00 898
    2020-01-01 $306,682 (10.7%) $360,352 (10.8%) 1.02 801
    2020-02-01 $319,900 (14.5%) $366,627 (11.8%) 1.03 738
    2020-03-01 $320,950 (11.6%) $374,090 (11.4%) 1.00 716
    2020-04-01 $326,250 (10.5%) $387,280 (12.9%) 1.02 695
    2020-05-01 $319,900 (9.4%) $380,892 (11.4%) 0.97 724
    2020-06-01 $319,450 (10.2%) $377,611 (9.0%) 0.93 743
    2020-07-01 $324,400 (12.4%) $386,333 (11.3%) 0.93 660
    2020-08-01 $334,900 (16.1%) $400,827 (14.7%) 0.96 604
    2020-09-01 $328,050 (11.8%) $395,341 (11.8%) 0.94 570
    2020-10-01 $329,900 (13.0%) $397,666 (13.7%) 0.94 539
    2020-11-01 $329,900 (11.9%) $396,479 (14.1%) 0.94 515
    2020-12-01 $332,248 (10.8%) $389,292 (9.7%) 0.97 482
    2021-01-01 $341,900 (11.5%) $405,680 (12.6%) 1.01 411
    2021-02-01 $354,900 (10.9%) $417,694 (13.9%) 1.02 353
    2021-03-01 $350,200 (9.1%) $412,191 (10.2%) 0.98 356
    2021-04-01 $349,450 (7.1%) $410,653 (6.0%) 0.94 386
    2021-05-01 $349,900 (9.4%) $405,014 (6.3%) 0.92 396
    2021-06-01 $322,425 (0.9%) $386,291 (2.3%) 0.84 464
    2021-07-01 $316,200 (-2.5%) $381,896 (-1.2%) 0.82 453
    2021-08-01 $327,700 (-2.2%) $410,176 (2.3%) 0.86 478
    2021-09-01 $320,775 (-2.2%) $415,484 (5.1%) 0.84 470
    2021-10-01 $320,000 (-3.0%) $412,193 (3.7%) 0.84 467
    2021-11-01 $333,370 (1.1%) $421,756 (6.4%) 0.88 422
    2021-12-01 $349,950 (5.3%) $436,522 (12.1%) 0.93 342
    2022-01-01 $369,900 (8.2%) $484,855 (19.5%) 0.99 250
    2022-02-01 $354,950 (0.0%) $462,765 (10.8%) 0.90 260
    2022-03-01 $368,450 (5.2%) $438,264 (6.3%) 0.91 318
    2022-04-01 $374,900 (7.3%) $452,988 (10.3%) 0.88 328
    Lancaster's median listing price for 2022-04-01 was $374,900, a difference of $25,450 (7.3%) versus the prior year and $6,450 versus the prior month.

    Lancaster's median listing price comes in at 88% of the national average.

    Lancaster's average listing price for 2022-04-01 was $452,988, a difference of $42,335 (10.3%) versus the prior year and $14,724 versus the prior month.

    For the 2022-04-01 period, Lancaster had 328 MLS listings, a difference of 10 listings (3%) versus the prior month and -58 listings (-15%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Lancaster (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 94 days 1,870 sqft
    2018-02-01 96 days 1,897 sqft
    2018-03-01 78 days 1,918 sqft
    2018-04-01 65 days 1,898 sqft
    2018-05-01 65 days 1,899 sqft
    2018-06-01 53 days 2,056 sqft
    2018-07-01 54 days 2,046 sqft
    2018-08-01 62 days 2,032 sqft
    2018-09-01 68 days 2,054 sqft
    2018-10-01 66 days 2,002 sqft
    2018-11-01 65 days 1,993 sqft
    2018-12-01 78 days 1,975 sqft
    2019-01-01 80 days 1,953 sqft
    2019-02-01 80 days 1,965 sqft
    2019-03-01 72 days 2,018 sqft
    2019-04-01 51 days 2,084 sqft
    2019-05-01 46 days 2,081 sqft
    2019-06-01 51 days 2,057 sqft
    2019-07-01 53 days 2,035 sqft
    2019-08-01 53 days 2,033 sqft
    2019-09-01 52 days 2,059 sqft
    2019-10-01 51 days 2,062 sqft
    2019-11-01 60 days 2,042 sqft
    2019-12-01 77 days 2,050 sqft
    2020-01-01 85 days 2,118 sqft
    2020-02-01 85 days 2,183 sqft
    2020-03-01 60 days 2,140 sqft
    2020-04-01 77 days 2,160 sqft
    2020-05-01 78 days 2,125 sqft
    2020-06-01 47 days 2,150 sqft
    2020-07-01 42 days 2,172 sqft
    2020-08-01 46 days 2,210 sqft
    2020-09-01 49 days 2,122 sqft
    2020-10-01 52 days 2,100 sqft
    2020-11-01 51 days 2,100 sqft
    2020-12-01 59 days 2,018 sqft
    2021-01-01 67 days 2,060 sqft
    2021-02-01 68 days 2,096 sqft
    2021-03-01 52 days 2,100 sqft
    2021-04-01 35 days 2,076 sqft
    2021-05-01 35 days 2,046 sqft
    2021-06-01 39 days 1,904 sqft
    2021-07-01 45 days 1,930 sqft
    2021-08-01 41 days 1,974 sqft
    2021-09-01 45 days 1,922 sqft
    2021-10-01 46 days 1,948 sqft
    2021-11-01 47 days 1,908 sqft
    2021-12-01 58 days 1,908 sqft
    2022-01-01 61 days 1,971 sqft
    2022-02-01 43 days 1,952 sqft
    2022-03-01 34 days 1,912 sqft
    2022-04-01 37 days 1,955 sqft
    Lancaster's median listing age (time on market) for 2022-04-01 was 37 days. This is 7% longer than the same period one year ago.

    Lancaster's median square footage for active listings during the 2022-04-01 period was 1,955 sqft. One year prior, the average listing was 2,076 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).