Mankato FHA Loans

MANKATO, MN

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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.

    Mankato's 51 lenders originated 289 FHA loans during 2021. The total origination value was $55,865,000, with an average FHA loan value of $193,304.

    Mankato FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Mankato averaged 5.29% 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 5.22% and one month ago for the week of 2022-04-08, the average rate was 4.59%.

    The average rate one year ago was 3%.

    For refis of the same type during the week of 2022-05-13, the average rate was 5.19%.

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

    Mankato 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 Mankato level.

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    UNITED WHOLESALE MORTGAGE, LLC 65 2.61% $6,696
    CROSSCOUNTRY MORTGAGE, LLC 27 3.06% $8,128
    QUICKEN LOANS, LLC 26 2.71% $6,250
    Plains Commerce Bank 15 2.83% $8,132
    FREEDOM MORTGAGE CORPORATION 13 2.87% $3,651
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 10 3.31% $7,979
    Carrington Mortgage Services, LLC 9 3.15% $8,084
    PLAZA HOME MORTGAGE, INC. 8 2.81% $7,219
    Home Federal Savings Bank 6 3.04% $7,803
    BROKER SOLUTIONS, INC. 5 3.23% $8,348
    LAKEVIEW LOAN SERVICING, LLC 5 3.00% $5,240
    PENNYMAC LOAN SERVICES, LLC 5 2.88% $3,879
    Lend Smart Mortgage, LLC 4 3.19% $7,359
    VILLAGE CAPITAL & INVESTMENT LLC 4 3.31% $1,865
    NEWREZ LLC 3 3.04% $4,325
    American Mortgage & Equity Consultants, Inc. 3 3.04% $7,063
    CALIBER HOME LOANS, INC. 3 2.75% $5,413
    IOWA BANKERS MORTGAGE CORPORATION 3 3.08% $6,651
    TCF National Bank 2 2.56% $6,836
    AMERISAVE MORTGAGE CORPORATION 2 2.88% $7,386
    BAY EQUITY LLC 2 2.88% $10,668
    Bell Bank 2 2.81% $6,870
    Bremer Bank 2 2.88% $6,701
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 2 3.93% $8,627
    HOMEBRIDGE FINANCIAL SERVICES, INC. 2 2.81% $4,394
    LOANDEPOT.COM, LLC 2 2.87% $9,258
    Mr. Cooper ( Nationstar Mortgage ) 2 2.88% $3,820
    Lakeview Community Capital, LLC 1 2.99% $3,299
    HOMESIDE FINANCIAL, LLC 1 2.50% $13,061
    LEADERONE FINANCIAL CORPORATION 1 3.63% $8,043
    HOMEOWNERS FINANCIAL GROUP USA, LLC 1 2.75% $6,484
    AXIA FINANCIAL, LLC 1 3.00% $5,551
    Low VA Rates, LLC 1 2.88% $3,082
    Mortgage Research Center, LLC 1 2.63% $3,271
    Wells Fargo Bank 1 2.88% $9,769
    GUARANTEED RATE, INC. 1 2.88% $8,431
    North American Savings Bank, F.S.B. 1 3.00% $5,833
    Old National Bank 1 3.00% $5,399
    EVERETT FINANCIAL, INC. 1 3.13% $8,730
    CHARTER WEST BANK 1 2.75% $5,184
    Cambria Financial Group, LLC 1 3.25% $7,074
    PRIMARY RESIDENTIAL MORTGAGE, INC. 1 2.88% $8,887
    Barrington Bank & Trust Company, N.A. 1 2.88% $9,649
    RESULTS MORTGAGE, LLC 1 3.50% $6,792
    Bank of England 1 3.50% $10,391
    The Huntington National Bank 1 3.13% $7,631
    UNITED SECURITY FINANCIAL CORP 1 2.50% $4,374
    Bank of America 1 3.13% $5,594
    U.S. Bank 1 3.00% $10,387
    Hometown Lenders, Inc. 1 4.25% $5,158
    Lake Area Bank 1 3.00% $8,294

    The top Mankato FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 65 FHA loans originated. Their average total fees are $6,696, which is $1,432 lower than the next largest lender, CROSSCOUNTRY MORTGAGE, LLC.

    The lowest fee Mankato FHA lenders (with over 10 loans originated) are FREEDOM MORTGAGE CORPORATION ($3,651), QUICKEN LOANS, LLC ($6,250), UNITED WHOLESALE MORTGAGE, LLC ($6,696), FAIRWAY INDEPENDENT MORTGAGE CORPORATION ($7,979) and CROSSCOUNTRY MORTGAGE, LLC ($8,128).

    The lowest rate Mankato FHA lenders (with over 10 loans originated) are UNITED WHOLESALE MORTGAGE, LLC (2.61%), QUICKEN LOANS, LLC (2.71%), Plains Commerce Bank (2.83%), FREEDOM MORTGAGE CORPORATION (2.87%) and CROSSCOUNTRY MORTGAGE, LLC (3.06%).

    Mankato FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    MANKATO, MN BLUE EARTH 2022 $420,680 $538,650 $651,050 $809,150
    MANKATO, MN NICOLLET 2022 $420,680 $538,650 $651,050 $809,150

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Mankato (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 $247,350 (24.7%) $296,493 (18.0%) 0.00 277
    2018-02-01 $247,450 (21.3%) $294,862 (15.7%) 0.00 272
    2018-03-01 $254,000 (19.2%) $315,453 (22.1%) 0.00 297
    2018-04-01 $251,950 (14.6%) $322,423 (19.8%) 0.00 329
    2018-05-01 $252,400 (12.4%) $320,912 (14.9%) 0.00 352
    2018-06-01 $254,900 (13.4%) $317,115 (12.9%) 0.00 374
    2018-07-01 $249,900 (8.7%) $313,426 (8.2%) 0.00 377
    2018-08-01 $255,250 (11.0%) $310,292 (7.0%) 0.00 397
    2018-09-01 $244,700 (2.4%) $302,121 (3.1%) 0.00 416
    2018-10-01 $249,900 (5.1%) $296,995 (-0.1%) 0.00 422
    2018-11-01 $249,900 (5.1%) $293,532 (-1.2%) 0.00 400
    2018-12-01 $250,000 (2.0%) $297,917 (0.0%) 0.00 347
    2019-01-01 $253,950 (2.7%) $297,779 (0.4%) 0.00 311
    2019-02-01 $262,450 (6.1%) $301,874 (2.4%) 0.00 307
    2019-03-01 $267,571 (5.3%) $306,602 (-2.8%) 0.00 322
    2019-04-01 $265,321 (5.3%) $309,735 (-3.9%) 0.00 342
    2019-05-01 $269,700 (6.9%) $319,200 (-0.5%) 0.00 383
    2019-06-01 $269,900 (5.9%) $312,623 (-1.4%) 0.00 406
    2019-07-01 $273,450 (9.4%) $316,654 (1.0%) 0.00 412
    2019-08-01 $271,100 (6.2%) $313,206 (0.9%) 0.00 432
    2019-09-01 $270,050 (10.4%) $309,776 (2.5%) 0.00 435
    2019-10-01 $269,900 (8.0%) $313,319 (5.5%) 0.00 449
    2019-11-01 $269,900 (8.0%) $313,861 (6.9%) 0.00 414
    2019-12-01 $274,900 (10.0%) $317,752 (6.7%) 0.00 347
    2020-01-01 $269,900 (6.3%) $309,450 (3.9%) 0.00 312
    2020-02-01 $279,900 (6.7%) $319,662 (5.9%) 0.00 302
    2020-03-01 $284,950 (6.5%) $327,612 (6.9%) 0.00 332
    2020-04-01 $287,450 (8.3%) $328,053 (5.9%) 0.00 331
    2020-05-01 $304,000 (12.7%) $341,570 (7.0%) 0.00 341
    2020-06-01 $312,450 (15.8%) $347,530 (11.2%) 0.00 306
    2020-07-01 $311,950 (14.1%) $349,362 (10.3%) 0.00 262
    2020-08-01 $313,900 (15.8%) $362,593 (15.8%) 0.00 253
    2020-09-01 $299,900 (11.1%) $362,760 (17.1%) 0.00 250
    2020-10-01 $274,500 (1.7%) $330,104 (5.4%) 0.00 263
    2020-11-01 $265,950 (-1.5%) $325,425 (3.7%) 0.00 202
    2020-12-01 $272,400 (-0.9%) $337,300 (6.2%) 0.00 184
    2021-01-01 $275,000 (1.9%) $360,814 (16.6%) 0.00 137
    2021-02-01 $297,400 (6.3%) $375,194 (17.4%) 0.00 110
    2021-03-01 $299,450 (5.1%) $377,552 (15.2%) 0.00 126
    2021-04-01 $299,450 (4.2%) $388,559 (18.4%) 0.00 145
    2021-05-01 $305,000 (0.3%) $377,842 (10.6%) 0.00 118
    2021-06-01 $289,450 (-7.4%) $366,893 (5.6%) 0.00 138
    2021-07-01 $274,900 (-11.9%) $365,698 (4.7%) 0.00 161
    2021-08-01 $275,000 (-12.4%) $361,816 (-0.2%) 0.00 196
    2021-09-01 $272,450 (-9.2%) $354,908 (-2.2%) 0.00 199
    2021-10-01 $269,900 (-1.7%) $357,972 (8.4%) 0.00 206
    2021-11-01 $272,450 (2.4%) $368,702 (13.3%) 0.00 186
    2021-12-01 $299,450 (9.9%) $383,464 (13.7%) 0.00 150
    2022-01-01 $324,900 (18.2%) $398,573 (10.5%) 0.00 129
    2022-02-01 $352,945 (18.7%) $488,749 (30.3%) 0.00 105
    2022-03-01 $318,500 (6.4%) $434,935 (15.2%) 0.00 97
    2022-04-01 $298,000 (-0.5%) $375,578 (-3.3%) 0.00 113
    Mankato's median listing price for 2022-04-01 was $298,000, a difference of $-1,450 (-0.5%) versus the prior year and $-20,500 versus the prior month.

    Mankato's median listing price comes in at 0% of the national average.

    Mankato's average listing price for 2022-04-01 was $375,578, a difference of $-12,981 (-3.3%) versus the prior year and $-59,357 versus the prior month.

    For the 2022-04-01 period, Mankato had 113 MLS listings, a difference of 16 listings (16%) versus the prior month and -32 listings (-22%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Mankato (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 0 days 2,189 sqft
    2018-02-01 0 days 2,174 sqft
    2018-03-01 0 days 2,170 sqft
    2018-04-01 0 days 2,187 sqft
    2018-05-01 0 days 2,174 sqft
    2018-06-01 0 days 2,174 sqft
    2018-07-01 0 days 2,172 sqft
    2018-08-01 0 days 2,190 sqft
    2018-09-01 0 days 2,186 sqft
    2018-10-01 0 days 2,170 sqft
    2018-11-01 0 days 2,169 sqft
    2018-12-01 0 days 2,168 sqft
    2019-01-01 0 days 2,214 sqft
    2019-02-01 0 days 2,195 sqft
    2019-03-01 0 days 2,185 sqft
    2019-04-01 0 days 2,181 sqft
    2019-05-01 0 days 2,186 sqft
    2019-06-01 0 days 2,246 sqft
    2019-07-01 0 days 2,277 sqft
    2019-08-01 0 days 2,190 sqft
    2019-09-01 0 days 2,136 sqft
    2019-10-01 0 days 2,161 sqft
    2019-11-01 0 days 2,156 sqft
    2019-12-01 0 days 2,132 sqft
    2020-01-01 0 days 2,101 sqft
    2020-02-01 0 days 2,177 sqft
    2020-03-01 0 days 2,261 sqft
    2020-04-01 0 days 2,235 sqft
    2020-05-01 0 days 2,292 sqft
    2020-06-01 0 days 2,514 sqft
    2020-07-01 0 days 2,592 sqft
    2020-08-01 0 days 2,688 sqft
    2020-09-01 0 days 2,675 sqft
    2020-10-01 0 days 2,492 sqft
    2020-11-01 0 days 2,415 sqft
    2020-12-01 0 days 2,413 sqft
    2021-01-01 0 days 2,504 sqft
    2021-02-01 0 days 2,430 sqft
    2021-03-01 0 days 2,438 sqft
    2021-04-01 0 days 2,475 sqft
    2021-05-01 0 days 2,552 sqft
    2021-06-01 0 days 2,393 sqft
    2021-07-01 0 days 2,379 sqft
    2021-08-01 0 days 2,339 sqft
    2021-09-01 0 days 2,243 sqft
    2021-10-01 0 days 2,280 sqft
    2021-11-01 0 days 2,260 sqft
    2021-12-01 0 days 2,287 sqft
    2022-01-01 0 days 2,347 sqft
    2022-02-01 0 days 2,480 sqft
    2022-03-01 0 days 2,458 sqft
    2022-04-01 0 days 2,270 sqft
    Mankato's median listing age (time on market) for 2022-04-01 was 0 days.

    Mankato's median square footage for active listings during the 2022-04-01 period was 2,270 sqft. One year prior, the average listing was 2,475 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).