Norwich FHA Loans

NORWICH-NEW LONDON, CT

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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.

    Norwich's 96 lenders originated 1,118 FHA loans during 2021. The total origination value was $246,650,000, with an average FHA loan value of $220,617.

    Norwich FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Norwich averaged 5.45% 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 5.28% and one month ago for the week of 2022-04-08, the average rate was 5.04%.

    The average rate one year ago was 3.15%.

    For refis of the same type during the week of 2022-05-13, the average rate was 4.95%.

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

    Norwich 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 Norwich level.

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    QUICKEN LOANS, LLC 98 2.75% $6,462
    HOMESTEAD FUNDING CORP. 81 2.83% $6,930
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 71 3.19% $8,471
    UNITED WHOLESALE MORTGAGE, LLC 62 2.62% $8,689
    NORWICH COMMERCIAL GROUP, INC. 55 3.19% $8,494
    FREEDOM MORTGAGE CORPORATION 53 3.07% $5,556
    LOANDEPOT.COM, LLC 38 2.78% $7,985
    TOTAL MORTGAGE SERVICES, LLC 36 2.92% $8,795
    LAKEVIEW LOAN SERVICING, LLC 28 3.06% $4,658
    PRIMARY RESIDENTIAL MORTGAGE, INC. 22 3.59% $9,969
    Mr. Cooper ( Nationstar Mortgage ) 21 3.35% $4,721
    HOME POINT FINANCIAL CORPORATION 20 2.71% $8,438
    PRIMELENDING, A PLAINSCAPITAL COMPANY 19 3.51% $9,446
    FIRST WORLD MORTGAGE CORPORATION 19 2.89% $8,374
    NEWREZ LLC 18 2.82% $6,186
    Prosperity Home Mortgage, LLC 18 3.05% $8,588
    MOVEMENT MORTGAGE, LLC 17 3.05% $6,711
    HOMEBRIDGE FINANCIAL SERVICES, INC. 17 2.93% $7,023
    Paramount Residential Mortgage Group, Inc. 15 3.01% $8,850
    CALIBER HOME LOANS, INC. 14 2.83% $8,123
    BROKER SOLUTIONS, INC. 11 3.00% $8,125
    Citizens Bank 10 2.70% $7,249
    ALLIED MORTGAGE GROUP, INC. 10 3.05% $8,224
    PENNYMAC LOAN SERVICES, LLC 10 3.11% $5,508
    Carrington Mortgage Services, LLC 9 3.53% $7,869
    NFM, INC. 9 3.19% $8,111
    GUARANTEED RATE AFFINITY, LLC 9 2.92% $7,513
    WILLIAM RAVEIS MORTGAGE, LLC 8 2.83% $8,155
    Shamrock Home Loans, Inc. 8 3.52% $9,581
    CROSSCOUNTRY MORTGAGE, LLC 8 3.38% $9,528
    OCMBC, INC. 7 3.18% $7,395
    AmeriHome Mortgage Company, LLC 6 2.94% $4,241
    FINANCE OF AMERICA MORTGAGE LLC 6 2.79% $8,185
    GUARANTEED RATE, INC. 6 2.71% $8,798
    AMERISAVE MORTGAGE CORPORATION 6 2.90% $7,370
    Nations Lending Corporation 6 3.10% $6,575
    Lakeview Community Capital, LLC 6 3.19% $3,775
    Northpointe Bank 6 3.06% $7,851
    AMERICAN FINANCIAL NETWORK, INC. 5 3.03% $11,948
    EQUITY RESOURCES, INC. 5 2.65% $9,527
    Berkshire Bank 5 2.80% $7,535
    First Guaranty Mortgage Corporation 5 2.83% $8,769
    VILLAGE CAPITAL & INVESTMENT LLC 4 3.06% $2,260
    CONTOUR MORTGAGE CORPORATION 4 2.50% $6,976
    RESIDENTIAL MORTGAGE SERVICES, INC. 4 3.25% $8,033
    PLAZA HOME MORTGAGE, INC. 4 3.53% $7,841
    Equity Prime Mortgage LLC 4 3.22% $8,593
    Charter Oak Federal Credit Union 4 2.44% $6,211
    Flagstar Bank, FSB 3 2.71% $8,454
    SUN WEST MORTGAGE COMPANY, INC. 3 3.25% $6,600
    HOMESIDE FINANCIAL, LLC 3 3.27% $9,117
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 3 2.92% $6,940
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 3 3.38% $9,174
    NATIONS DIRECT MORTGAGE, LLC 2 3.81% $6,975
    Chelsea Groton Bank 2 2.81% $8,083
    EMBRACE HOME LOANS, INC. 2 3.25% $7,203
    EMM LOANS LLC 2 3.00% $16,779
    EVERETT FINANCIAL, INC. 2 3.69% $6,963
    HARBORONE MORTGAGE, LLC 2 3.19% $7,306
    Hometown Equity Mortgage, LLC 2 4.38% $11,079
    InterContinental Capital Group, Inc 2 3.25% $9,248
    Mortgage Network, Inc. 2 3.13% $8,816
    Mortgage Research Center, LLC 2 3.06% $6,254
    PLANET HOME LENDING, LLC 2 2.69% $5,083
    PROVINCE MORTGAGE ASSOCIATES, INC. 2 3.00% $10,288
    Webster Bank 2 3.00% $12,569
    MID AMERICA MORTGAGE, INC. 1 3.50% $2,856
    NORTHPOINT MORTGAGE, INC. 1 3.13% $7,982
    INTERSTATE HOME LOAN CENTER, INC. 1 3.25% $11,489
    Homestar Mortgage, Inc. 1 3.00% $2,871
    HOMESPIRE MORTGAGE CORPORATION 1 3.63% $9,129
    FIRST HOME MORTGAGE CORPORATION 1 3.75% $10,250
    Plains Commerce Bank 1 2.50% $8,595
    Wells Fargo Bank 1 2.88% $10,014
    First Home Bank 1 3.50% $7,030
    ENVOY MORTGAGE, LTD 1 3.63% $7,378
    DAS Acquisition Company, LLC 1 3.25% $5,292
    CMG MORTGAGE, INC. 1 3.25% $7,597
    AMERICAN FINANCIAL RESOURCES, INC. 1 3.75% $6,869
    BETTER MORTGAGE CORPORATION 1 2.25% $11,227
    Barrington Bank & Trust Company, N.A. 1 2.88% $8,689
    Bank of America 1 2.75% $2,128
    Sierra Pacific Mortgage Company, Inc. 1 3.13% $8,734
    SOVEREIGN LENDING GROUP INCORPORATED 1 3.13% $10,882
    STEARNS LENDING, LLC 1 2.25% $7,709
    Atlantic Home Loans, Inc. 1 3.00% $7,619
    The Federal Savings Bank 1 3.00% $6,448
    TIAA, FSB 1 2.75% $4,450
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 1 3.63% $8,785
    TOWNE MORTGAGE COMPANY 1 2.75% $7,928
    ARC HOME LLC 1 2.63% $9,639
    AmRes Corporation 1 2.75% $4,876
    ZILLOW HOME LOANS, LLC 1 2.63% $6,639
    Network Funding, L.P. 1 3.63% $5,700
    MUTUAL OF OMAHA MORTGAGE, INC. 1 3.50% $7,485
    NJ LENDERS CORP. 1 2.63% $10,725

    The top Norwich FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 98 FHA loans originated. Their average total fees are $6,462, which is $467 lower than the next largest lender, HOMESTEAD FUNDING CORP..

    The lowest fee Norwich FHA lenders (with over 10 loans originated) are LAKEVIEW LOAN SERVICING, LLC ($4,658), Mr. Cooper ( Nationstar Mortgage ) ($4,721), PENNYMAC LOAN SERVICES, LLC ($5,508), FREEDOM MORTGAGE CORPORATION ($5,556) and NEWREZ LLC ($6,186).

    The lowest rate Norwich FHA lenders (with over 10 loans originated) are UNITED WHOLESALE MORTGAGE, LLC (2.62%), Citizens Bank (2.70%), HOME POINT FINANCIAL CORPORATION (2.71%), QUICKEN LOANS, LLC (2.75%) and LOANDEPOT.COM, LLC (2.78%).

    Norwich FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    NORWICH-NEW LONDON, CT NEW LONDON 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).