Salem FHA Loan Rates, Closing Costs & Stats

SALEM, OR

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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.

    Salem's 112 lenders originated 1,296 FHA loans during 2024. The total origination value was $481,010,000, with an average FHA loan value of $371,150.

    Salem FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Salem averaged 0.14% for the week of 2025-06-20, compared to the national average (all FHA variants) of 0% for the same period.

    Salem's average FHA mortgage closing costs are $10,875.

    The average rate for the prior week (2025-06-13) was 6.72% and one month ago for the week of 2025-05-16, the average rate was 6.78%.

    The average rate one year ago was 6.53%.

    For refis of the same type during the week of 2025-06-20, the average rate was -0.26%.

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

    Salem 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 Salem level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    UNITED WHOLESALE MORTGAGE, LLC 106 5.98% $15,626
    GUILD MORTGAGE COMPANY 106 6.43% $16,096
    QUICKEN LOANS, LLC 86 6.14% $15,016
    DHI MORTGAGE COMPANY, LTD. 66 5.11% $11,528
    NATIONS DIRECT MORTGAGE, LLC 50 6.14% $13,423
    MORTGAGE EXPRESS, LLC 43 6.42% $15,250
    FREEDOM MORTGAGE CORPORATION 38 6.13% $15,820
    S1L, Inc. 34 6.21% $16,373
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 32 6.34% $15,862
    LOANDEPOT.COM, LLC 32 5.61% $13,983
    NEWREZ LLC 32 6.21% $14,632
    UNION HOME MORTGAGE CORP. 30 6.18% $17,024
    CMG MORTGAGE, INC. 26 6.10% $15,115
    CHURCHILL MORTGAGE CORPORATION 24 6.60% $16,967
    PANORAMA MORTGAGE GROUP, LLC 24 6.47% $18,436
    EAGLE HOME MORTGAGE, LLC 21 6.18% $13,218
    PENNYMAC LOAN SERVICES, LLC 21 6.08% $11,929
    PLAZA HOME MORTGAGE, INC. 18 6.19% $18,414
    CROSSCOUNTRY MORTGAGE, LLC 16 6.55% $16,659
    MID AMERICA MORTGAGE, INC. 16 6.80% $5,099
    AMERICAN FINANCIAL NETWORK, INC. 16 6.71% $16,774
    LPMC, LLC 16 6.30% $12,610
    SUN WEST MORTGAGE COMPANY, INC. 15 5.66% $22,499
    PACIFIC RESIDENTIAL MORTGAGE, LLC 14 6.37% $17,882
    Flagstar Bank, FSB 13 6.13% $12,881
    EVERGREEN MONEYSOURCE MORTGAGE COMPANY 13 6.70% $14,704
    Sierra Pacific Mortgage Company, Inc. 12 5.78% $17,802
    Century Mortgage Company DBA Century Lending Company 12 6.21% $15,497
    SUMMIT FUNDING, INC. 12 6.13% $22,565
    MORTGAGE SOLUTIONS OF COLORADO, LLC 11 6.19% $15,505
    KeyBank 11 5.80% $14,974
    BAY EQUITY LLC 10 6.33% $14,034
    Equity Prime Mortgage LLC 10 6.58% $17,362
    BROKER SOLUTIONS, INC. 10 6.50% $15,247
    Paramount Residential Mortgage Group, Inc. 9 6.55% $13,872
    Willamette Valley Bank 7 6.27% $14,454
    LAKEVIEW LOAN SERVICING, LLC 7 6.20% $10,387
    SUCCESS MORTGAGE PARTNERS, INC. 7 6.39% $18,739
    LOANPAL, LLC 7 5.32% $18,432
    Umpqua Bank 7 6.05% $17,483
    AMERICAN FINANCIAL RESOURCES, INC. 6 6.83% $16,182
    GUARANTEED RATE, INC. 6 6.21% $13,784
    MOVEMENT MORTGAGE, LLC 6 6.23% $13,905
    Loan Simple, Inc. 5 6.27% $16,514
    AMERICAN PACIFIC MORTGAGE CORPORATION 5 6.55% $19,358
    Mr. Cooper ( Nationstar Mortgage ) 5 6.18% $19,053
    VILLAGE CAPITAL MORTGAGE 5 6.65% $6,559
    DIRECTORS MORTGAGE, INC. 5 6.65% $19,192
    The Loan Store, Inc. 5 5.98% $15,189
    DAS Acquisition Company, LLC 4 5.69% $18,262
    Prosperity Home Mortgage, LLC 4 6.63% $15,345
    PLANET HOME LENDING, LLC 4 6.22% $6,852
    AMERICAN FINANCING CORPORATION 4 6.06% $15,176
    Bank of England 4 6.84% $15,449
    MUTUAL OF OMAHA MORTGAGE, INC. 4 6.06% $18,619
    Carrington Mortgage Services, LLC 4 6.25% $14,124
    HOMEBRIDGE FINANCIAL SERVICES, INC. 4 6.75% $9,429
    Hometown Equity Mortgage, LLC 4 5.81% $17,629
    HomeStreet Bank 3 5.92% $11,982
    HOMESIDE FINANCIAL, LLC 3 7.13% $20,182
    Plains Commerce Bank 3 6.29% $17,484
    AMERISAVE MORTGAGE CORPORATION 3 6.67% $15,730
    CANOPY MORTGAGE, LLC 3 6.62% $18,502
    Lakeview Community Capital, LLC 3 6.08% $9,060
    MASON MCDUFFIE MORTGAGE CORPORATION 3 6.92% $12,858
    Bank of the Pacific 3 5.79% $12,804
    Nations Lending Corporation 3 6.46% $22,826
    UNITED MORTGAGE CORP 2 6.69% $21,052
    GENEVA FINANCIAL, LLC 2 6.50% $18,475
    JPMorgan Chase Bank 2 5.37% $15,123
    TOWNE MORTGAGE COMPANY 2 6.06% $13,986
    American Mortgage & Equity Consultants, Inc. 2 5.88% $21,032
    Mortgage Research Center, LLC 2 6.25% $8,907
    Keystone Funding, Inc. 2 5.75% $10,479
    SCENIC OAKS FUNDING, INC. 2 5.19% $11,555
    NOVA FINANCIAL & INVESTMENT CORPORATION 2 7.19% $12,347
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 2 6.44% $14,533
    Home Mortgage Alliance Corp 2 6.25% $14,443
    Wells Fargo Bank 2 6.81% $11,323
    OPEN MORTGAGE, LLC 1 6.13% $16,104
    DATA MORTGAGE, INC. 1 6.25% $12,664
    CITYWIDE HOME LOANS, LLC 1 5.88% $15,756
    CITY FIRST MORTGAGE SERVICES, L.L.C. 1 6.63% $20,268
    ENVOY MORTGAGE, LTD 1 7.00% $10,022
    Flanagan State Bank 1 6.25% $10,643
    Franklin Loan Corporation 1 5.99% $17,624
    CENTENNIAL LENDING, LLC 1 6.00% $14,680
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 1 5.25% $18,558
    INTELLILOAN, INC. 1 6.13% $6,462
    JMAC LENDING, INC. 1 6.25% $11,572
    LADERA LENDING, INC. 1 5.75% $15,857
    LEADERONE FINANCIAL CORPORATION 1 6.63% $14,027
    LENOX FINANCIAL MORTGAGE CORPORATION 1 5.25% $10,086
    CARDINAL FINANCIAL 1 6.75% $21,135
    CALCON MUTUAL MORTGAGE LLC 1 6.75% $20,142
    Bell Bank 1 5.75% $23,034
    NBKC BANK 1 5.63% $12,467
    NETWORK CAPITAL FUNDING CORPORATION 1 6.00% $16,899
    NEW DAY FINANCIAL, LLC 1 7.75% $5,320
    NEXERA HOLDING LLC 1 5.25% $9,310
    Old National Bank 1 5.75% $11,233
    OnPoint Community Credit Union 1 6.50% $14,782
    Cornerstone First Mortgage, Inc 1 7.13% $15,590
    Paramount Bank 1 5.63% $13,857
    PRIMELENDING, A PLAINSCAPITAL COMPANY 1 6.63% $14,809
    RANLIFE, INC. 1 5.38% $20,841
    Summit Mortgage Corporation 1 6.25% $15,881
    TOP FLITE FINANCIAL, INC. 1 6.50% $25,796
    U.S. Bank 1 6.63% $10,509
    V.I.P. MORTGAGE, INC. 1 5.99% $22,889
    Waterstone Mortgage Corporation 1 6.63% $11,663
    ZILLOW HOME LOANS, LLC 1 6.75% $10,812

    The top Salem FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 106 FHA loans originated. Their average total fees are $15,626, which is $470 lower than the next largest lender, GUILD MORTGAGE COMPANY.

    The lowest fee Salem FHA lenders (with over 10 loans originated) are MID AMERICA MORTGAGE, INC. ($5,099), DHI MORTGAGE COMPANY, LTD. ($11,528), PENNYMAC LOAN SERVICES, LLC ($11,929), LPMC, LLC ($12,610) and Flagstar Bank, FSB ($12,881).

    The lowest rate Salem FHA lenders (with over 10 loans originated) are DHI MORTGAGE COMPANY, LTD. (5.11%), LOANDEPOT.COM, LLC (5.61%), SUN WEST MORTGAGE COMPANY, INC. (5.66%), Sierra Pacific Mortgage Company, Inc. (5.78%) and KeyBank (5.80%).

    Salem FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    SALEM, OR MARION 2022 $420,680 $538,650 $651,050 $809,150
    SALEM, OR POLK 2022 $420,680 $538,650 $651,050 $809,150
    SALEM, OR MARION 2023 $483,000 $618,300 $747,400 $928,850
    SALEM, OR POLK 2023 $483,000 $618,300 $747,400 $928,850

    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).