Portland FHA Loans

PORTLAND-SOUTH PORTLAND, ME

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.

Portland's 89 lenders originated 1,707 FHA loans during 2021. The total origination value was $453,695,000, with an average FHA loan value of $265,785.

Portland FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Portland 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 5.42% and one month ago for the week of 2022-04-08, the average rate was 5.08%.

The average rate one year ago was 2.99%.

For refis of the same type during the week of 2022-05-13, the average rate was 5.2%.

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

Portland 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 Portland level.

Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
QUICKEN LOANS, LLC 137 2.63% $7,410
UNITED WHOLESALE MORTGAGE, LLC 116 2.75% $8,947
RESIDENTIAL MORTGAGE SERVICES, INC. 92 3.01% $8,791
LAKEVIEW LOAN SERVICING, LLC 81 2.92% $4,791
CMG MORTGAGE, INC. 71 3.15% $8,676
CALIBER HOME LOANS, INC. 65 2.73% $7,466
Mr. Cooper ( Nationstar Mortgage ) 53 3.23% $4,916
Ixonia Bank 47 3.35% $12,870
ACADEMY MORTGAGE CORPORATION 46 3.14% $9,751
FREEDOM MORTGAGE CORPORATION 45 2.78% $4,630
NEWREZ LLC 39 2.92% $5,907
LOANDEPOT.COM, LLC 38 3.12% $8,711
HOMEBRIDGE FINANCIAL SERVICES, INC. 36 2.94% $9,041
PENNYMAC LOAN SERVICES, LLC 24 2.90% $5,453
NORWICH COMMERCIAL GROUP, INC. 24 3.26% $9,191
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 23 3.23% $8,571
HARBORONE MORTGAGE, LLC 23 2.96% $8,912
MEGASTAR FINANCIAL CORP. 21 2.98% $8,634
CROSSCOUNTRY MORTGAGE, LLC 19 3.05% $10,838
Bangor Savings Bank 19 2.59% $9,219
Citizens Bank 19 2.59% $8,728
TOTAL MORTGAGE SERVICES, LLC 18 3.32% $10,482
VILLAGE CAPITAL & INVESTMENT LLC 18 2.79% $2,396
Mortgage Network, Inc. 17 3.05% $9,771
Carrington Mortgage Services, LLC 17 3.27% $8,585
EMM LOANS LLC 16 2.84% $9,855
AmeriHome Mortgage Company, LLC 14 2.88% $5,366
EMBRACE HOME LOANS, INC. 13 3.29% $8,163
First Guaranty Mortgage Corporation 13 2.77% $5,771
DAS Acquisition Company, LLC 12 3.15% $8,206
PRIMARY RESIDENTIAL MORTGAGE, INC. 12 3.47% $14,378
AMERISAVE MORTGAGE CORPORATION 9 2.85% $10,232
ENVOY MORTGAGE, LTD 9 3.36% $8,681
AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 9 3.17% $10,018
OCMBC, INC. 9 3.24% $9,866
HOME POINT FINANCIAL CORPORATION 9 2.56% $8,824
BROKER SOLUTIONS, INC. 8 3.16% $8,372
Flagstar Bank, FSB 8 2.78% $10,719
LEADERONE FINANCIAL CORPORATION 8 3.13% $8,478
The Camden National Bank 8 2.89% $7,560
NORTHPOINT MORTGAGE, INC. 7 3.16% $9,006
RELIANCE FIRST CAPITAL, LLC 7 2.89% $12,432
GUILD MORTGAGE COMPANY 7 3.25% $9,197
The Federal Savings Bank 6 2.81% $11,636
T2 FINANCIAL LLC 5 3.50% $10,864
MUTUAL OF OMAHA MORTGAGE, INC. 5 3.13% $10,021
INTEGRITY MORTGAGE LLC 5 3.12% $10,409
KeyBank 5 2.93% $10,210
Lakeview Community Capital, LLC 4 3.05% $5,283
Nations Lending Corporation 4 3.38% $8,182
NORTHERN MORTGAGE SERVICES, LLC 4 2.93% $8,854
Shamrock Home Loans, Inc. 4 3.22% $12,358
DREW MORTGAGE ASSOCIATES, INC. 3 2.88% $10,339
PRIMELENDING, A PLAINSCAPITAL COMPANY 3 3.20% $7,499
GUARANTEED RATE, INC. 3 3.00% $9,839
Bank of America 3 2.79% $6,076
MOVEMENT MORTGAGE, LLC 3 3.46% $5,617
Manufacturers and Traders Trust Company 2 3.06% $9,480
EVERETT FINANCIAL, INC. 2 2.94% $7,577
NBH Bank 2 2.94% $9,047
Servion, Inc. 2 3.19% $10,027
SUN WEST MORTGAGE COMPANY, INC. 2 2.81% $5,339
AMERICAN FINANCING CORPORATION 2 3.81% $8,496
AMERICAN FINANCIAL RESOURCES, INC. 2 3.69% $8,669
CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 2 3.00% $10,515
JPMorgan Chase Bank 1 3.63% $0
Waterstone Mortgage Corporation 1 2.88% $9,363
Low VA Rates, LLC 1 3.00% $3,231
MICHIGAN MUTUAL, INC. 1 2.75% $9,407
MID AMERICA MORTGAGE, INC. 1 4.00% $7,399
MID-ISLAND MORTGAGE CORP. 1 2.45% $12,145
Mortgage Assurance Inc. 1 2.88% $7,818
DRAPER AND KRAMER MORTGAGE CORP. 1 2.63% $9,929
CUSO MORTGAGE CORPORATION 1 3.00% $7,966
OCEANSIDE MORTGAGE COMPANY 1 2.50% $5,174
Century Mortgage Company DBA Century Lending Company 1 2.75% $10,814
Paramount Residential Mortgage Group, Inc. 1 3.00% $7,865
Peoples Bank 1 3.25% $8,248
People's United Bank 1 3.25% $6,565
PHH Mortgage Corporation 1 3.13% $3,655
PLANET HOME LENDING, LLC 1 2.63% $6,889
Blue Ridge Bank 1 2.75% $11,472
Bank of England 1 2.75% $5,614
RADIUS FINANCIAL GROUP INC. 1 2.75% $6,196
SALEM FIVE MORTGAGE COMPANY, LLC 1 2.50% $10,776
STEARNS LENDING, LLC 1 2.99% $5,367
Wells Fargo Bank 1 3.75% $7,338
AMERICAN FINANCIAL NETWORK, INC. 1 2.38% $14,513
InterContinental Capital Group, Inc 1 3.25% $10,146

The top Portland FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 137 FHA loans originated. Their average total fees are $7,410, which is $1,536 lower than the next largest lender, UNITED WHOLESALE MORTGAGE, LLC.

The lowest fee Portland FHA lenders (with over 10 loans originated) are VILLAGE CAPITAL & INVESTMENT LLC ($2,396), FREEDOM MORTGAGE CORPORATION ($4,630), LAKEVIEW LOAN SERVICING, LLC ($4,791), Mr. Cooper ( Nationstar Mortgage ) ($4,916) and AmeriHome Mortgage Company, LLC ($5,366).

The lowest rate Portland FHA lenders (with over 10 loans originated) are Citizens Bank (2.59%), Bangor Savings Bank (2.59%), QUICKEN LOANS, LLC (2.63%), CALIBER HOME LOANS, INC. (2.73%) and UNITED WHOLESALE MORTGAGE, LLC (2.75%).

Portland FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
PORTLAND-SOUTH PORTLAND, ME CUMBERLAND 2022 $463,450 $593,300 $717,150 $891,250
PORTLAND-SOUTH PORTLAND, ME SAGADAHOC 2022 $463,450 $593,300 $717,150 $891,250
PORTLAND-SOUTH PORTLAND, ME YORK 2022 $463,450 $593,300 $717,150 $891,250

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).