Lynchburg FHA Loans

LYNCHBURG, VA

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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.

    Lynchburg's 106 lenders originated 1,314 FHA loans during 2021. The total origination value was $278,200,000, with an average FHA loan value of $211,720.

    Lynchburg FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Lynchburg averaged 5.14% 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 5.35% and one month ago for the week of 2022-04-15, the average rate was 4.94%.

    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 4.86%.

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

    Lynchburg 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 Lynchburg level.

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    EMBRACE HOME LOANS, INC. 144 3.07% $6,619
    MOVEMENT MORTGAGE, LLC 139 3.08% $6,468
    QUICKEN LOANS, LLC 118 2.72% $6,038
    NATION ONE MORTGAGE CORPORATION 69 3.24% $7,592
    FREEDOM MORTGAGE CORPORATION 55 2.82% $4,391
    APEX HOME LOANS, INC. 51 2.95% $6,672
    ATLANTIC BAY MORTGAGE GROUP, L.L.C. 45 3.23% $7,260
    LAKEVIEW LOAN SERVICING, LLC 38 3.12% $3,860
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 33 2.91% $8,376
    ROUNDPOINT MORTGAGE SERVICING CORPORATION 27 3.29% $4,917
    Mr. Cooper ( Nationstar Mortgage ) 26 3.33% $4,033
    UNITED WHOLESALE MORTGAGE, LLC 24 2.61% $6,639
    Integrity Home Mortgage Corp 22 3.18% $7,268
    Alcova Mortgage LLC 22 3.15% $5,017
    PENNYMAC LOAN SERVICES, LLC 20 2.99% $4,994
    Renasant Bank 18 2.91% $7,773
    Prosperity Home Mortgage, LLC 16 3.15% $6,475
    CALIBER HOME LOANS, INC. 12 2.63% $5,170
    OVM FINANCIAL, INC. 12 3.08% $7,717
    AMERICAN FINANCIAL RESOURCES, INC. 11 3.28% $8,368
    MCLEAN MORTGAGE CORPORATION 11 3.08% $6,343
    AMERISAVE MORTGAGE CORPORATION 11 3.02% $7,161
    TIDEWATER MORTGAGE SERVICES, INC. 9 3.29% $8,935
    SWBC MORTGAGE CORPORATION 8 3.28% $5,905
    Assurance Financial Group, L.L.C. 8 2.95% $8,127
    LOANDEPOT.COM, LLC 8 3.09% $7,683
    Atlantic Union Bank 7 3.36% $7,673
    BROKER SOLUTIONS, INC. 7 2.77% $8,434
    HOMEBRIDGE FINANCIAL SERVICES, INC. 7 2.52% $4,574
    VANDERBILT MORTGAGE AND FINANCE, INC. 6 3.69% $8,550
    Truist Bank 5 2.90% $6,902
    Carrington Mortgage Services, LLC 5 3.33% $4,680
    C & F Mortgage Corporation 5 3.63% $6,458
    NEWREZ LLC 5 2.90% $6,139
    Waterstone Mortgage Corporation 5 3.00% $7,598
    Lakeview Community Capital, LLC 5 3.19% $3,290
    Citizens Bank 4 2.69% $9,113
    Mortgage Research Center, LLC 4 3.19% $3,495
    AMERICAN PACIFIC MORTGAGE CORPORATION 4 3.31% $8,240
    FREEDOM FIRST 4 2.44% $5,874
    First Guaranty Mortgage Corporation 4 3.31% $4,119
    INTERCOASTAL MORTGAGE COMPANY 3 3.13% $7,328
    Paramount Residential Mortgage Group, Inc. 3 3.13% $9,622
    PLANET HOME LENDING, LLC 3 2.79% $4,785
    PRIMARY RESIDENTIAL MORTGAGE, INC. 3 3.71% $8,860
    GUARANTY HOME MORTGAGE CORPORATION 3 2.71% $11,619
    STEARNS LENDING, LLC 3 2.25% $7,846
    HOME POINT FINANCIAL CORPORATION 3 2.67% $7,175
    HOMESIDE FINANCIAL, LLC 3 3.25% $8,203
    THRIVE MORTGAGE, LLC 3 3.38% $8,198
    AMERICAN FINANCIAL NETWORK, INC. 3 2.46% $8,530
    Blue Ridge Bank 3 2.67% $7,429
    MUTUAL OF OMAHA MORTGAGE, INC. 3 3.42% $7,427
    VILLAGE CAPITAL & INVESTMENT LLC 2 2.88% $2,333
    OCEANSIDE MORTGAGE COMPANY 2 2.94% $3,196
    MORIA DEVELOPMENT, INC. 2 3.00% $11,687
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 2 3.43% $5,565
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 2 2.88% $5,254
    AmeriHome Mortgage Company, LLC 2 3.13% $3,222
    CBM Mortgage, Inc. 2 3.13% $6,008
    CROSSCOUNTRY MORTGAGE, LLC 2 3.56% $6,443
    American National Bank and Trust Company 2 2.63% $8,413
    MICHIGAN MUTUAL, INC. 2 3.13% $9,491
    SOUTHERN TRUST MORTGAGE, LLC 2 3.25% $6,794
    SOUTHWEST STAGE FUNDING, LLC 2 3.25% $5,593
    NFM, INC. 2 3.44% $9,782
    F & M BANK CORP. 2 3.88% $6,782
    Barrington Bank & Trust Company, N.A. 2 3.25% $11,267
    Nations Lending Corporation 1 3.25% $11,526
    ENVOY MORTGAGE, LTD 1 2.50% $9,516
    FAMILY FIRST FUNDING LLC 1 3.38% $7,560
    First-Citizens Bank & Trust Company 1 2.38% $6,971
    First Federal Bank 1 2.75% $17,553
    First Savings Bank 1 3.63% $9,048
    Flagstar Bank, FSB 1 2.54% $3,423
    George Mason Mortgage, LLC 1 2.99% $9,752
    GUARANTEED RATE, INC. 1 3.75% $10,006
    ZILLOW HOME LOANS, LLC 1 2.88% $7,526
    Hometown Equity Mortgage, LLC 1 4.25% $5,251
    Chickasaw Community Bank 1 2.88% $6,332
    KELLER MORTGAGE, LLC 1 3.13% $7,513
    LIBERTY HOME MORTGAGE CORPORATION 1 3.25% $7,249
    LOANPAL, LLC 1 2.75% $9,407
    MID AMERICA MORTGAGE, INC. 1 3.38% $1,920
    MIDLAND MORTGAGE CORPORATION 1 3.50% $7,058
    MILEND, INC. 1 2.88% $10,376
    CAPITAL CENTER, L.L.C. 1 2.88% $2,616
    BETTER MORTGAGE CORPORATION 1 2.25% $11,970
    Commerce Home Mortgage, Inc. 1 2.75% $7,124
    North American Savings Bank, F.S.B. 1 3.13% $5,055
    Northpointe Bank 1 4.25% $9,864
    BAYSHORE MORTGAGE FUNDING, LLC 1 2.88% $4,142
    PLAZA HOME MORTGAGE, INC. 1 2.25% $8,118
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 2.75% $17,046
    RELIANCE FIRST CAPITAL, LLC 1 2.63% $7,542
    ROYAL UNITED MORTGAGE LLC 1 2.38% $10,507
    Sierra Pacific Mortgage Company, Inc. 1 3.00% $8,954
    SUN WEST MORTGAGE COMPANY, INC. 1 2.75% $6,073
    AMERICAN FINANCING CORPORATION 1 3.88% $11,453
    The Federal Savings Bank 1 2.75% $12,770
    Tidewater Home Funding, LLC 1 3.88% $8,950
    Towne Bank 1 3.13% $6,336
    TOWNE MORTGAGE COMPANY 1 2.49% $10,367
    United Fidelity Funding Corp. 1 3.25% $7,242
    ALLIED MORTGAGE GROUP, INC. 1 3.25% $6,042
    Virginia Credit Union, Inc. 1 3.50% $5,866

    The top Lynchburg FHA lender as defined by loan originations is EMBRACE HOME LOANS, INC., with 144 FHA loans originated. Their average total fees are $6,619, which is $152 higher than the next largest lender, MOVEMENT MORTGAGE, LLC.

    The lowest fee Lynchburg FHA lenders (with over 10 loans originated) are LAKEVIEW LOAN SERVICING, LLC ($3,860), Mr. Cooper ( Nationstar Mortgage ) ($4,033), FREEDOM MORTGAGE CORPORATION ($4,391), ROUNDPOINT MORTGAGE SERVICING CORPORATION ($4,917) and PENNYMAC LOAN SERVICES, LLC ($4,994).

    The lowest rate Lynchburg FHA lenders (with over 10 loans originated) are UNITED WHOLESALE MORTGAGE, LLC (2.61%), CALIBER HOME LOANS, INC. (2.63%), QUICKEN LOANS, LLC (2.72%), FREEDOM MORTGAGE CORPORATION (2.82%) and Renasant Bank (2.91%).

    Lynchburg FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    LYNCHBURG, VA AMHERST 2022 $420,680 $538,650 $651,050 $809,150
    LYNCHBURG, VA APPOMATTOX 2022 $420,680 $538,650 $651,050 $809,150
    LYNCHBURG, VA BEDFORD 2022 $420,680 $538,650 $651,050 $809,150
    LYNCHBURG, VA CAMPBELL 2022 $420,680 $538,650 $651,050 $809,150
    LYNCHBURG, VA LYNCHBURG CITY 2022 $420,680 $538,650 $651,050 $809,150

    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).