New Haven FHA Loan Rates, Closing Costs & Stats

NEW HAVEN-MILFORD, CT

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.

New Haven's 136 lenders originated 1,893 FHA loans during 2023. The total origination value was $533,935,000, with an average FHA loan value of $282,058.

New Haven FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in New Haven averaged 6.9% for the week of 2024-05-10, compared to the national average (all FHA variants) of 6.786% for the same period.

New Haven's average FHA mortgage closing costs are $8,920.

The average rate for the prior week (2024-05-03) was 6.89% and one month ago for the week of 2024-04-05, the average rate was 6.78%.

The average rate one year ago was 6.39%.

For refis of the same type during the week of 2024-05-10, the average rate was 6.86%.

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

New Haven 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 New Haven level.

Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
QUICKEN LOANS, LLC 169 6.36% $12,514
TOTAL MORTGAGE SERVICES, LLC 165 6.45% $12,530
UNITED WHOLESALE MORTGAGE, LLC 139 6.51% $13,332
FIRST WORLD MORTGAGE CORPORATION 96 6.26% $10,282
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 78 6.57% $12,443
CROSSCOUNTRY MORTGAGE, LLC 68 6.79% $12,536
NORWICH COMMERCIAL GROUP, INC. 59 6.32% $10,679
NEWREZ LLC 58 6.46% $13,258
MOVEMENT MORTGAGE, LLC 51 6.27% $13,211
PLAZA HOME MORTGAGE, INC. 47 6.56% $12,854
HOMEBRIDGE FINANCIAL SERVICES, INC. 43 6.23% $12,672
LOANDEPOT.COM, LLC 33 6.30% $13,577
GUARANTEED RATE, INC. 29 6.64% $13,038
CARDINAL FINANCIAL 29 6.47% $16,983
Citizens Bank 29 6.63% $12,027
CMG MORTGAGE, INC. 27 6.79% $15,290
FREEDOM MORTGAGE CORPORATION 27 6.88% $15,056
Carrington Mortgage Services, LLC 26 6.47% $13,776
PRIMARY RESIDENTIAL MORTGAGE, INC. 24 6.68% $13,788
ARK-LA-TEX FINANCIAL SERVICES, LLC. 22 6.66% $12,672
CALIBER HOME LOANS, INC. 21 6.07% $13,906
Mr. Cooper ( Nationstar Mortgage ) 20 6.28% $15,095
BROKER SOLUTIONS, INC. 19 6.64% $12,431
Flagstar Bank, FSB 17 6.23% $11,702
HOMESTEAD FUNDING CORP. 16 6.26% $8,934
Prosperity Home Mortgage, LLC 15 6.51% $9,752
AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 15 6.70% $15,700
WILLIAM RAVEIS MORTGAGE, LLC 15 6.20% $9,921
AMERISAVE MORTGAGE CORPORATION 15 6.02% $16,440
PROVINCE MORTGAGE ASSOCIATES, INC. 12 6.36% $9,306
PRIMELENDING, A PLAINSCAPITAL COMPANY 12 6.53% $12,787
PENNYMAC LOAN SERVICES, LLC 12 6.14% $15,879
GUARANTEED RATE AFFINITY, LLC 11 6.38% $12,603
T2 FINANCIAL LLC 11 6.90% $14,768
SUN WEST MORTGAGE COMPANY, INC. 10 6.76% $11,045
Bank of England 10 6.79% $12,074
NATIONS DIRECT MORTGAGE, LLC 10 6.34% $14,987
EQUITY RESOURCES, INC. 9 6.21% $10,509
UNITED NORTHERN MORTGAGE BANKERS LIMITED 9 6.68% $14,109
AMERICAN FINANCIAL NETWORK, INC. 9 6.82% $13,626
MUTUAL OF OMAHA MORTGAGE, INC. 8 6.50% $17,034
Evolve Bank & Trust 8 6.77% $13,185
M&T Bank 7 6.54% $9,981
NATIONWIDE MORTGAGE BANKERS, INC. 7 6.66% $17,498
ENVOY MORTGAGE, LTD 7 6.41% $13,001
Paramount Residential Mortgage Group, Inc. 7 6.84% $13,473
Keystone Funding, Inc. 7 6.87% $16,191
RELIANCE FIRST CAPITAL, LLC 7 6.41% $13,871
The Federal Savings Bank 6 6.21% $13,749
ALLIED MORTGAGE GROUP, INC. 6 6.15% $14,310
CONTOUR MORTGAGE CORPORATION 6 6.15% $13,354
Equity Prime Mortgage LLC 6 7.33% $12,800
GUILD MORTGAGE COMPANY 6 6.71% $12,132
MEADOWBROOK FINANCIAL MORTGAGE BANKERS CORP. 6 6.33% $20,426
Mortgage Research Center, LLC 6 6.54% $6,232
VILLAGE CAPITAL MORTGAGE 6 6.36% $9,475
PRYSMA LENDING GROUP, LLC 5 6.95% $18,477
US MORTGAGE CORPORATION 5 6.58% $17,395
Northpointe Bank 5 6.48% $11,473
Plains Commerce Bank 5 6.35% $12,919
Lakeview Community Capital, LLC 5 6.35% $11,930
JPMorgan Chase Bank 4 6.72% $6,828
Newtown Savings Bank 4 6.25% $9,420
EMM LOANS LLC 4 6.13% $16,455
Century Mortgage Company DBA Century Lending Company 4 6.53% $12,980
JET DIRECT FUNDING CORP 4 6.59% $15,528
BAY EQUITY LLC 4 5.94% $14,646
Wells Fargo Bank 4 6.72% $10,232
CLIFFCO, INC. 3 6.08% $20,365
Loan Simple, Inc. 3 6.13% $12,898
Magnolia Bank 3 5.92% $16,054
EVERETT FINANCIAL, INC. 3 6.42% $14,532
NFM, INC. 3 7.33% $14,481
LAKEVIEW LOAN SERVICING, LLC 3 6.50% $10,929
PLANET HOME LENDING, LLC 3 5.88% $9,801
Thomaston Savings Bank 2 5.88% $7,338
TOP FLITE FINANCIAL, INC. 2 7.00% $15,781
MLB RESIDENTIAL LENDING, LLC 2 7.00% $14,559
LEADERONE FINANCIAL CORPORATION 2 6.56% $13,277
NBKC BANK 2 5.63% $9,826
SECURITYNATIONAL MORTGAGE COMPANY 2 6.81% $18,494
FM Home Loans, LLC 2 6.31% $10,785
PHH Mortgage Corporation 2 6.56% $14,644
NJ LENDERS CORP. 2 6.88% $15,960
Residential Mortgage Solutions, Inc. 2 6.69% $14,058
RESIDENTIAL HOME FUNDING CORP. 2 5.75% $19,229
ZILLOW HOME LOANS, LLC 2 5.94% $13,172
Waterstone Mortgage Corporation 2 6.88% $18,251
Webster Bank 2 6.56% $8,719
Bank of America 2 5.56% $8,562
Hometown Equity Mortgage, LLC 2 7.06% $11,985
INTERSTATE HOME LOAN CENTER, INC. 2 6.75% $16,396
EMBRACE HOME LOANS, INC. 2 5.25% $16,267
Liberty Bank 2 6.19% $9,393
Semper Home Loans, Inc. 2 6.56% $10,465
First Federal Bank 2 6.81% $12,359
LOANPAL, LLC 2 5.19% $16,910
PANORAMA MORTGAGE GROUP, LLC 2 6.69% $16,212
TD Bank 2 6.50% $9,879
1ST 2ND MORTGAGE COMPANY OF N.J., INC. 2 6.94% $13,727
Union Savings Bank 1 6.25% $9,906
KeyBank 1 5.88% $5,853
Home Loan Investment Bank, F.S.B. 1 7.25% $12,067
LEGEND LENDING CORPORATION 1 7.25% $18,393
LIBERTY HOME MORTGAGE CORPORATION 1 7.13% $18,763
HARTFORD FUNDING, LTD. 1 7.63% $17,620
MEMBERS MORTGAGE COMPANY, INC. 1 5.75% $8,404
MORTGAGE EQUITY PARTNERS LLC 1 7.13% $18,619
A&D Mortgage LLC 1 6.88% $19,187
MORTGAGE SOLUTIONS OF COLORADO, LLC 1 7.25% $17,307
GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 1 7.75% $12,607
FIRST MORTGAGE COMPANY, INC. 1 5.38% $14,503
NATION ONE MORTGAGE CORPORATION 1 7.25% $18,112
FIRST COMMUNITY MORTGAGE, INC. 1 6.63% $11,946
NATIONS RELIABLE LENDING, LLC 1 6.25% $16,184
NORTHPOINT MORTGAGE, INC. 1 6.13% $17,099
OCMBC, INC. 1 7.50% $12,663
East Coast Capital Corp. 1 7.13% $7,728
DRAPER AND KRAMER MORTGAGE CORP. 1 5.63% $10,249
CALCON MUTUAL MORTGAGE LLC 1 6.75% $20,066
BAYSHORE MORTGAGE FUNDING, LLC 1 6.75% $20,285
ASSOCIATED MORTGAGE BANKERS, INC. 1 7.13% $17,948
Savings Bank of Danbury 1 6.88% $12,157
Shamrock Home Loans, Inc. 1 7.13% $11,075
Stifel Bank and Trust 1 6.63% $11,334
AmeriHome Mortgage Company, LLC 1 7.13% $7,396
AMERICAN FINANCING CORPORATION 1 6.13% $6,154
AMERICAN FINANCIAL RESOURCES, INC. 1 7.63% $18,949
TOWNE MORTGAGE COMPANY 1 5.99% $11,901
TruHome Solutions, LLC 1 5.13% $20,959
UNION HOME MORTGAGE CORP. 1 6.63% $6,466
JERSEY MORTGAGE COMPANY OF NEW JERSEY, INC. 1 6.63% $22,023
AMERICAN EAGLE FINANCIAL CREDIT UNION 1 7.25% $9,108
AMCAP MORTGAGE, LTD. 1 6.13% $13,691
U.S. Bank 1 6.75% $11,739
HOMESIDE FINANCIAL, LLC 1 6.75% $19,885

The top New Haven FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 169 FHA loans originated. Their average total fees are $12,514, which is $16 lower than the next largest lender, TOTAL MORTGAGE SERVICES, LLC.

The lowest fee New Haven FHA lenders (with over 10 loans originated) are HOMESTEAD FUNDING CORP. ($8,934), PROVINCE MORTGAGE ASSOCIATES, INC. ($9,306), Prosperity Home Mortgage, LLC ($9,752), WILLIAM RAVEIS MORTGAGE, LLC ($9,921) and FIRST WORLD MORTGAGE CORPORATION ($10,282).

The lowest rate New Haven FHA lenders (with over 10 loans originated) are AMERISAVE MORTGAGE CORPORATION (6.02%), CALIBER HOME LOANS, INC. (6.07%), PENNYMAC LOAN SERVICES, LLC (6.14%), WILLIAM RAVEIS MORTGAGE, LLC (6.20%) and HOMEBRIDGE FINANCIAL SERVICES, INC. (6.23%).

New Haven FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
NEW HAVEN-MILFORD, CT NEW HAVEN 2022 $420,680 $538,650 $651,050 $809,150
NEW HAVEN-MILFORD, CT NEW HAVEN 2023 $472,030 $604,400 $730,525 $907,900

Market Conditions (Median, Average Prices & Listing Count)

Realtor.com - New Haven (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 $261,475 (4.8%) $397,044 (8.9%) 0.97 2,823
2018-02-01 $267,400 (7.0%) $408,705 (10.9%) 0.97 2,761
2018-03-01 $279,000 (6.3%) $417,339 (12.5%) 0.98 2,890
2018-04-01 $285,000 (5.6%) $408,581 (7.4%) 0.97 3,015
2018-05-01 $296,950 (8.0%) $394,701 (1.5%) 0.99 3,248
2018-06-01 $294,950 (5.9%) $390,762 (-3.0%) 0.98 3,404
2018-07-01 $289,948 (3.9%) $397,484 (-0.9%) 0.97 3,532
2018-08-01 $289,450 (5.2%) $382,062 (-4.1%) 0.97 3,606
2018-09-01 $289,250 (7.1%) $385,202 (-2.9%) 0.97 3,614
2018-10-01 $284,600 (5.5%) $384,082 (-2.6%) 0.96 3,529
2018-11-01 $274,950 (3.1%) $375,607 (-3.9%) 0.93 3,357
2018-12-01 $269,900 (2.2%) $370,262 (-5.1%) 0.93 3,031
2019-01-01 $269,900 (3.2%) $371,605 (-6.4%) 0.93 2,718
2019-02-01 $274,575 (2.7%) $377,083 (-7.7%) 0.93 2,670
2019-03-01 $287,571 (3.1%) $388,244 (-7.0%) 0.94 2,767
2019-04-01 $299,450 (5.1%) $397,737 (-2.7%) 0.95 2,868
2019-05-01 $293,200 (-1.3%) $392,957 (-0.4%) 0.92 3,025
2019-06-01 $294,995 (0.0%) $390,408 (-0.1%) 0.92 3,183
2019-07-01 $292,450 (0.9%) $388,653 (-2.2%) 0.92 3,209
2019-08-01 $285,836 (-1.3%) $381,791 (-0.1%) 0.91 3,177
2019-09-01 $279,741 (-3.3%) $376,043 (-2.4%) 0.90 3,102
2019-10-01 $275,000 (-3.4%) $372,211 (-3.1%) 0.89 3,029
2019-11-01 $274,900 (0.0%) $367,566 (-2.1%) 0.90 2,774
2019-12-01 $269,950 (0.0%) $367,883 (-0.6%) 0.90 2,409
2020-01-01 $269,800 (0.0%) $368,480 (-0.8%) 0.90 2,124
2020-02-01 $275,000 (0.2%) $377,644 (0.2%) 0.90 2,040
2020-03-01 $289,925 (0.8%) $390,744 (0.6%) 0.91 2,101
2020-04-01 $289,900 (-3.2%) $396,729 (-0.3%) 0.91 2,051
2020-05-01 $299,900 (2.3%) $406,170 (3.4%) 0.91 1,907
2020-06-01 $317,425 (7.6%) $432,780 (10.9%) 0.94 1,665
2020-07-01 $326,950 (11.8%) $448,530 (15.4%) 0.95 1,590
2020-08-01 $320,000 (12.0%) $453,950 (18.9%) 0.92 1,559
2020-09-01 $308,500 (10.3%) $450,552 (19.8%) 0.88 1,594
2020-10-01 $310,000 (12.7%) $449,585 (20.8%) 0.89 1,547
2020-11-01 $309,450 (12.6%) $447,767 (21.8%) 0.90 1,453
2020-12-01 $300,000 (11.1%) $454,473 (23.5%) 0.89 1,268
2021-01-01 $310,000 (14.9%) $468,117 (27.0%) 0.93 1,019
2021-02-01 $317,975 (15.6%) $472,862 (25.2%) 0.93 835
2021-03-01 $324,900 (12.1%) $491,572 (25.8%) 0.92 814
2021-04-01 $333,250 (15.0%) $516,992 (30.3%) 0.90 845
2021-05-01 $340,000 (13.4%) $512,193 (26.1%) 0.90 956
2021-06-01 $337,400 (6.3%) $507,267 (17.2%) 0.89 1,132
2021-07-01 $335,000 (2.5%) $508,451 (13.4%) 0.88 1,290
2021-08-01 $329,575 (3.0%) $486,132 (7.1%) 0.88 1,415
2021-09-01 $324,950 (5.3%) $478,572 (6.2%) 0.87 1,421
2021-10-01 $329,000 (6.1%) $484,266 (7.7%) 0.88 1,361
2021-11-01 $329,900 (6.6%) $481,309 (7.5%) 0.88 1,102
2021-12-01 $321,000 (7.0%) $471,258 (3.7%) 0.87 920
2022-01-01 $329,900 (6.4%) $486,516 (3.9%) 0.89 732
2022-02-01 $344,450 (8.3%) $508,770 (7.6%) 0.90 626
2022-03-01 $350,000 (7.7%) $513,833 (4.5%) 0.88 626
2022-04-01 $351,000 (5.3%) $520,885 (0.8%) 0.84 749
2022-05-01 $357,450 (5.1%) $506,099 (-1.2%) 0.82 882
2022-06-01 $361,000 (7.0%) $502,853 (-0.9%) 0.80 1,014
2022-07-01 $358,000 (6.9%) $494,812 (-2.7%) 0.81 1,153
2022-08-01 $360,950 (9.5%) $488,184 (0.4%) 0.83 1,136
2022-09-01 $353,228 (8.7%) $497,818 (4.0%) 0.83 1,137
2022-10-01 $350,000 (6.4%) $497,744 (2.8%) 0.82 1,180
2022-11-01 $349,950 (6.1%) $490,084 (1.8%) 0.84 1,165
2022-12-01 $349,900 (9.0%) $489,391 (3.9%) 0.86 977
2023-01-01 $372,450 (12.9%) $493,418 (1.4%) 0.92 800
2023-02-01 $387,000 (12.4%) $515,822 (1.4%) 0.93 712
2023-03-01 $399,225 (14.1%) $542,586 (5.6%) 0.94 698
2023-04-01 $399,950 (14.0%) $549,293 (5.5%) 0.93 716
2023-05-01 $431,150 (20.6%) $556,902 (10.0%) 0.98 786
2023-06-01 $424,850 (17.7%) $578,734 (15.1%) 0.95 811
2023-07-01 $415,000 (15.9%) $604,994 (22.3%) 0.94 807
2023-08-01 $394,500 (9.3%) $572,667 (17.3%) 0.91 817
2023-09-01 $399,900 (13.2%) $560,729 (12.6%) 0.93 902
2023-10-01 $399,900 (14.3%) $570,346 (14.6%) 0.94 935
2023-11-01 $399,450 (14.2%) $561,029 (14.5%) 0.95 910
2023-12-01 $399,000 (14.0%) $560,476 (14.5%) 0.97 796
2024-01-01 $399,900 (7.4%) $565,017 (14.5%) 0.98 721
2024-02-01 $415,750 (7.4%) $585,020 (13.4%) 1.00 663
2024-03-01 $400,000 (0.2%) $573,579 (5.7%) 0.94 689
2024-04-01 $409,900 (2.5%) $602,740 (9.7%) 0.95 779
New Haven's median listing price for 2024-04-01 was $409,900, a difference of $9,950 (2.5%) versus the prior year and $9,900 versus the prior month.

New Haven's median listing price comes in at 95% of the national average.

New Haven's average listing price for 2024-04-01 was $602,740, a difference of $53,447 (9.7%) versus the prior year and $29,161 versus the prior month.

For the 2024-04-01 period, New Haven had 779 MLS listings, a difference of 90 listings (13%) versus the prior month and 63 listings (9%) versus the prior year.

Median Listing Time on Market & Square Footage

Realtor.com - New Haven (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
Date Median Listing Time on Market Median Square Footage
2018-01-01 93 days 1,601 sqft
2018-02-01 91 days 1,616 sqft
2018-03-01 60 days 1,658 sqft
2018-04-01 52 days 1,708 sqft
2018-05-01 50 days 1,729 sqft
2018-06-01 52 days 1,716 sqft
2018-07-01 59 days 1,702 sqft
2018-08-01 64 days 1,682 sqft
2018-09-01 67 days 1,692 sqft
2018-10-01 74 days 1,682 sqft
2018-11-01 77 days 1,645 sqft
2018-12-01 87 days 1,626 sqft
2019-01-01 93 days 1,608 sqft
2019-02-01 88 days 1,617 sqft
2019-03-01 68 days 1,661 sqft
2019-04-01 49 days 1,712 sqft
2019-05-01 47 days 1,747 sqft
2019-06-01 51 days 1,848 sqft
2019-07-01 58 days 1,844 sqft
2019-08-01 63 days 1,830 sqft
2019-09-01 67 days 1,814 sqft
2019-10-01 70 days 1,805 sqft
2019-11-01 72 days 1,800 sqft
2019-12-01 82 days 1,777 sqft
2020-01-01 87 days 1,759 sqft
2020-02-01 76 days 1,783 sqft
2020-03-01 49 days 1,800 sqft
2020-04-01 56 days 1,781 sqft
2020-05-01 70 days 1,816 sqft
2020-06-01 51 days 1,854 sqft
2020-07-01 39 days 1,868 sqft
2020-08-01 38 days 1,862 sqft
2020-09-01 39 days 1,822 sqft
2020-10-01 40 days 1,814 sqft
2020-11-01 45 days 1,783 sqft
2020-12-01 53 days 1,771 sqft
2021-01-01 64 days 1,752 sqft
2021-02-01 50 days 1,735 sqft
2021-03-01 24 days 1,728 sqft
2021-04-01 25 days 1,793 sqft
2021-05-01 22 days 1,792 sqft
2021-06-01 23 days 1,757 sqft
2021-07-01 28 days 1,729 sqft
2021-08-01 31 days 1,601 sqft
2021-09-01 37 days 1,578 sqft
2021-10-01 43 days 1,605 sqft
2021-11-01 47 days 1,580 sqft
2021-12-01 55 days 1,570 sqft
2022-01-01 60 days 1,592 sqft
2022-02-01 34 days 1,588 sqft
2022-03-01 20 days 1,607 sqft
2022-04-01 16 days 1,581 sqft
2022-05-01 17 days 1,594 sqft
2022-06-01 21 days 1,604 sqft
2022-07-01 26 days 1,608 sqft
2022-08-01 32 days 1,789 sqft
2022-09-01 38 days 1,804 sqft
2022-10-01 36 days 1,803 sqft
2022-11-01 44 days 1,796 sqft
2022-12-01 53 days 1,776 sqft
2023-01-01 63 days 1,761 sqft
2023-02-01 40 days 1,758 sqft
2023-03-01 31 days 1,855 sqft
2023-04-01 30 days 1,803 sqft
2023-05-01 24 days 1,874 sqft
2023-06-01 25 days 1,830 sqft
2023-07-01 29 days 1,805 sqft
2023-08-01 39 days 1,740 sqft
2023-09-01 37 days 1,786 sqft
2023-10-01 40 days 1,802 sqft
2023-11-01 46 days 1,800 sqft
2023-12-01 53 days 1,799 sqft
2024-01-01 58 days 1,798 sqft
2024-02-01 54 days 1,781 sqft
2024-03-01 40 days 1,728 sqft
2024-04-01 32 days 1,656 sqft
New Haven's median listing age (time on market) for 2024-04-01 was 32 days. This is 5% longer than the same period one year ago.

New Haven's median square footage for active listings during the 2024-04-01 period was 1,656 sqft. One year prior, the average listing was 1,803 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).