Sebastian FHA Loan Rates, Closing Costs & Stats

Sebastian-Vero Beach, FL

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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.

    Sebastian's 97 lenders originated 550 FHA loans during 2024. The total origination value was $164,540,000, with an average FHA loan value of $299,164.

    Sebastian FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Sebastian averaged 6.93% for the week of 2025-07-11, compared to the national average (all FHA variants) of 6.523% for the same period.

    Sebastian's average FHA mortgage closing costs are $9,022.

    The average rate for the prior week (2025-07-04) was 6.87% and one month ago for the week of 2025-06-06, the average rate was 6.7%.

    The average rate one year ago was 7.04%.

    For refis of the same type during the week of 2025-07-11, the average rate was 6.43%.

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

    Sebastian 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 Sebastian level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    UNITED WHOLESALE MORTGAGE, LLC 69 6.31% $13,396
    QUICKEN LOANS, LLC 52 6.24% $13,976
    FREEDOM MORTGAGE CORPORATION 25 6.31% $14,889
    DHI MORTGAGE COMPANY, LTD. 25 5.42% $10,635
    BAYSHORE MORTGAGE FUNDING, LLC 17 6.26% $13,903
    CROSSCOUNTRY MORTGAGE, LLC 17 6.71% $12,827
    UNION HOME MORTGAGE CORP. 12 6.31% $12,857
    LOANDEPOT.COM, LLC 12 6.12% $11,201
    PENNYMAC LOAN SERVICES, LLC 11 6.16% $11,373
    NEWREZ LLC 11 6.47% $11,708
    INSPIRE HOME LOANS INC. 10 5.31% $10,323
    FBC MORTGAGE, LLC 9 6.42% $12,468
    EVERETT FINANCIAL, INC. 9 6.79% $13,348
    MOVEMENT MORTGAGE, LLC 8 6.70% $14,002
    GUILD MORTGAGE COMPANY 8 6.36% $13,259
    TOTAL MORTGAGE SERVICES, LLC 8 6.39% $12,282
    Flagstar Bank, FSB 8 6.32% $11,325
    South State Bank 7 6.04% $13,615
    ACOPIA, LLC 6 7.00% $12,900
    CONTOUR MORTGAGE CORPORATION 6 6.40% $11,891
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 6 6.92% $13,061
    CARDINAL FINANCIAL 5 5.88% $11,573
    ZILLOW HOME LOANS, LLC 4 6.44% $13,785
    PLANET HOME LENDING, LLC 4 6.59% $8,453
    Equity Prime Mortgage LLC 4 6.16% $16,738
    PRIMARY RESIDENTIAL MORTGAGE, INC. 4 6.19% $21,734
    PLAZA HOME MORTGAGE, INC. 3 7.08% $13,134
    Carrington Mortgage Services, LLC 3 6.92% $16,450
    Century Mortgage Company DBA Century Lending Company 3 6.25% $18,108
    GOLD STAR MORTGAGE FINANCIAL GROUP, CORPORATION 3 6.00% $12,750
    GUARANTEED RATE, INC. 3 6.04% $15,065
    Pacific Lending LLC 3 6.54% $15,412
    Plains Commerce Bank 3 6.50% $11,056
    ABSOLUTE HOME MORTGAGE CORPORATION 3 6.58% $15,863
    SUN WEST MORTGAGE COMPANY, INC. 3 5.94% $14,446
    The Loan Store, Inc. 3 6.04% $13,349
    THE MORTGAGE FIRM, INC. 3 6.88% $10,792
    NVR Mortgage Finance, Inc. 2 5.81% $10,900
    City National Bank of Florida 2 5.94% $9,482
    LOANPAL, LLC 2 5.75% $12,244
    AMERISAVE MORTGAGE CORPORATION 2 6.19% $17,850
    BAY EQUITY LLC 2 6.00% $17,035
    Paramount Residential Mortgage Group, Inc. 2 6.44% $17,615
    MUTUAL OF OMAHA MORTGAGE, INC. 2 7.00% $19,116
    Seacoast National Bank 2 6.69% $8,850
    AMERICAN PACIFIC MORTGAGE CORPORATION 2 6.31% $15,728
    BROKER SOLUTIONS, INC. 2 7.00% $12,430
    GENEVA FINANCIAL, LLC 2 6.63% $10,106
    LAKEVIEW LOAN SERVICING, LLC 2 6.12% $12,402
    SWBC MORTGAGE CORPORATION 2 6.63% $11,979
    MY MORTGAGE, INC. 1 6.63% $11,051
    Nations Lending Corporation 1 6.75% $19,567
    NBKC BANK 1 6.38% $9,617
    NETWORK CAPITAL FUNDING CORPORATION 1 6.25% $12,203
    BAY CAPITAL MORTGAGE CORPORATION 1 6.00% $8,695
    NFM, INC. 1 6.75% $11,066
    Northpointe Bank 1 5.63% $8,778
    NORTHPOINT MORTGAGE, INC. 1 6.25% $11,331
    OCMBC, INC. 1 7.13% $18,282
    OPEN MORTGAGE, LLC 1 7.50% $17,540
    AMERICAN FINANCIAL RESOURCES, INC. 1 6.88% $7,023
    Bank of England 1 5.63% $15,514
    ALKAN MORTGAGE CORPORATION 1 6.75% $21,183
    BANKING MORTGAGE SERVICES, B.M.S. CORP. 1 6.99% $18,796
    VILLAGE CAPITAL MORTGAGE 1 6.75% $5,349
    PREMIER MORTGAGE RESOURCES, L.L.C. 1 6.75% $11,186
    AmRes Corporation 1 6.75% $5,768
    RELIANCE FIRST CAPITAL, LLC 1 6.50% $18,010
    RESIDENTIAL BANCORP 1 6.63% $12,417
    ROSS MORTGAGE CORPORATION 1 6.38% $16,475
    SPACE COAST Credit Union 1 6.88% $10,298
    V.I.P. MORTGAGE, INC. 1 5.75% $22,662
    Synovus Bank 1 5.75% $12,834
    Waterstone Mortgage Corporation 1 6.99% $16,189
    Acre Mortgage and Financial Inc 1 6.25% $19,740
    TIDEWATER MORTGAGE SERVICES, INC. 1 6.50% $11,509
    AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 1 5.88% $23,786
    EMM LOANS LLC 1 6.25% $17,528
    East Coast Capital Corp. 1 7.25% $13,465
    DIRECT MORTGAGE LOANS, LLC 1 6.38% $14,265
    Cornerstone First Mortgage, Inc 1 6.63% $14,959
    GARDNER FINANCIAL SERVICES, LTD. 1 6.25% $11,852
    TruHome Solutions, LLC 1 6.13% $10,880
    GSF Mortgage Corporation 1 6.88% $14,276
    GoPrime Mortgage, Inc. 1 6.13% $9,448
    Truist 1 6.25% $8,323
    HALLMARK HOME MORTGAGE, LLC 1 7.25% $12,032
    HIGHLANDS RESIDENTIAL MORTGAGE, LTD. 1 7.13% $13,322
    HOMEBRIDGE FINANCIAL SERVICES, INC. 1 6.75% $11,360
    Home Loan Investment Bank, F.S.B. 1 6.63% $10,427
    JMAC LENDING, INC. 1 6.63% $16,134
    Lakeview Community Capital, LLC 1 6.25% $15,332
    BM Real Estate Services, Inc. 1 7.13% $14,602
    Loan Simple, Inc. 1 7.13% $17,767
    MEADOWBROOK FINANCIAL MORTGAGE BANKERS CORP. 1 6.75% $10,806
    MICHIGAN MUTUAL, INC. 1 6.63% $16,626
    MID AMERICA MORTGAGE, INC. 1 6.75% $7,678

    The top Sebastian FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 69 FHA loans originated. Their average total fees are $13,396, which is $580 lower than the next largest lender, QUICKEN LOANS, LLC.

    The lowest fee Sebastian FHA lenders (with over 10 loans originated) are INSPIRE HOME LOANS INC. ($10,323), DHI MORTGAGE COMPANY, LTD. ($10,635), LOANDEPOT.COM, LLC ($11,201), PENNYMAC LOAN SERVICES, LLC ($11,373) and NEWREZ LLC ($11,708).

    The lowest rate Sebastian FHA lenders (with over 10 loans originated) are INSPIRE HOME LOANS INC. (5.31%), DHI MORTGAGE COMPANY, LTD. (5.42%), LOANDEPOT.COM, LLC (6.12%), PENNYMAC LOAN SERVICES, LLC (6.16%) and QUICKEN LOANS, LLC (6.24%).

    Sebastian FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    SEBASTIAN-VERO BEACH, FL INDIAN RIVER 2022 $420,680 $538,650 $651,050 $809,150
    SEBASTIAN-VERO BEACH, FL INDIAN RIVER 2023 $472,030 $604,400 $730,525 $907,900

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Sebastian (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 $353,500 (1.0%) $705,701 (-0.3%) 1.31 1,472
    2018-02-01 $349,500 (0.4%) $701,692 (-0.3%) 1.27 1,565
    2018-03-01 $350,000 (1.3%) $703,852 (0.6%) 1.23 1,663
    2018-04-01 $355,000 (0.0%) $708,499 (0.3%) 1.20 1,671
    2018-05-01 $340,000 (-2.4%) $695,261 (1.7%) 1.14 1,613
    2018-06-01 $334,900 (-4.2%) $677,644 (-6.0%) 1.12 1,566
    2018-07-01 $336,464 (-2.5%) $699,982 (0.3%) 1.12 1,477
    2018-08-01 $337,450 (-2.8%) $710,533 (3.6%) 1.13 1,457
    2018-09-01 $340,000 (-2.6%) $706,407 (-0.9%) 1.14 1,484
    2018-10-01 $338,934 (-2.8%) $694,356 (-3.6%) 1.15 1,579
    2018-11-01 $339,675 (-3.0%) $685,758 (-7.0%) 1.15 1,695
    2018-12-01 $339,000 (-3.1%) $677,364 (-5.2%) 1.17 1,760
    2019-01-01 $344,513 (-2.5%) $679,044 (-3.8%) 1.19 1,777
    2019-02-01 $348,900 (-0.2%) $665,615 (-5.1%) 1.18 1,918
    2019-03-01 $342,957 (-2.0%) $661,243 (-6.1%) 1.12 1,921
    2019-04-01 $338,057 (-4.8%) $667,144 (-5.8%) 1.07 1,879
    2019-05-01 $336,223 (-1.1%) $678,622 (-2.4%) 1.05 1,794
    2019-06-01 $337,500 (0.8%) $688,976 (1.7%) 1.05 1,625
    2019-07-01 $340,000 (1.1%) $693,171 (-1.0%) 1.06 1,554
    2019-08-01 $344,545 (2.1%) $694,030 (-2.3%) 1.09 1,507
    2019-09-01 $347,614 (2.2%) $695,681 (-1.5%) 1.11 1,465
    2019-10-01 $354,500 (4.6%) $701,540 (1.0%) 1.14 1,436
    2019-11-01 $340,000 (0.1%) $658,081 (-4.0%) 1.11 1,572
    2019-12-01 $341,816 (0.8%) $651,427 (-3.8%) 1.14 1,599
    2020-01-01 $341,038 (-1.0%) $654,625 (-3.6%) 1.14 1,631
    2020-02-01 $340,000 (-2.6%) $652,731 (-1.9%) 1.11 1,662
    2020-03-01 $338,000 (-1.5%) $649,553 (-1.8%) 1.06 1,673
    2020-04-01 $329,975 (-2.4%) $635,833 (-4.7%) 1.03 1,696
    2020-05-01 $329,450 (-2.0%) $640,543 (-5.6%) 1.00 1,612
    2020-06-01 $330,916 (-2.0%) $654,787 (-5.0%) 0.97 1,503
    2020-07-01 $339,000 (-0.3%) $645,812 (-6.8%) 0.98 1,401
    2020-08-01 $347,950 (1.0%) $676,831 (-2.5%) 1.00 1,233
    2020-09-01 $343,600 (-1.2%) $689,217 (-0.9%) 0.98 1,094
    2020-10-01 $347,000 (-2.1%) $696,722 (-0.7%) 0.99 1,015
    2020-11-01 $348,750 (2.6%) $704,238 (7.0%) 1.02 997
    2020-12-01 $348,500 (2.0%) $717,464 (10.1%) 1.04 927
    2021-01-01 $349,900 (2.6%) $703,956 (7.5%) 1.04 827
    2021-02-01 $344,000 (1.2%) $724,965 (11.1%) 1.00 656
    2021-03-01 $349,450 (3.4%) $741,170 (14.1%) 0.99 550
    2021-04-01 $366,250 (11.0%) $776,277 (22.1%) 0.99 498
    2021-05-01 $396,700 (20.4%) $860,422 (34.3%) 1.05 401
    2021-06-01 $389,950 (17.8%) $921,349 (40.7%) 1.03 383
    2021-07-01 $362,123 (6.8%) $886,158 (37.2%) 0.96 395
    2021-08-01 $369,000 (6.1%) $885,784 (30.9%) 0.98 406
    2021-09-01 $371,088 (8.0%) $823,952 (19.6%) 0.99 439
    2021-10-01 $398,500 (14.8%) $825,232 (18.4%) 1.06 407
    2021-11-01 $404,000 (15.8%) $903,815 (28.3%) 1.08 395
    2021-12-01 $431,000 (23.7%) $988,075 (37.7%) 1.17 360
    2022-01-01 $429,000 (22.6%) $964,474 (37.0%) 1.16 330
    2022-02-01 $402,000 (16.9%) $1,006,260 (38.8%) 1.05 337
    2022-03-01 $399,200 (14.2%) $966,311 (30.4%) 1.00 343
    2022-04-01 $420,575 (14.8%) $890,652 (14.7%) 1.00 387
    2022-05-01 $427,235 (7.7%) $909,406 (5.7%) 0.98 465
    2022-06-01 $427,000 (9.5%) $835,009 (-9.4%) 0.95 572
    2022-07-01 $425,000 (17.4%) $864,450 (-2.5%) 0.96 723
    2022-08-01 $414,988 (12.5%) $838,383 (-5.4%) 0.96 795
    2022-09-01 $417,450 (12.5%) $838,614 (1.8%) 0.98 818
    2022-10-01 $430,000 (7.9%) $859,800 (4.2%) 1.01 821
    2022-11-01 $431,700 (6.9%) $853,291 (-5.6%) 1.04 919
    2022-12-01 $429,900 (-0.3%) $883,231 (-10.6%) 1.06 954
    2023-01-01 $437,225 (1.9%) $881,207 (-8.6%) 1.08 997
    2023-02-01 $434,625 (8.1%) $994,959 (-1.1%) 1.05 1,048
    2023-03-01 $435,750 (9.2%) $1,042,899 (7.9%) 1.03 1,029
    2023-04-01 $446,000 (6.1%) $1,064,617 (19.5%) 1.04 1,008
    2023-05-01 $444,750 (4.1%) $966,890 (6.3%) 1.01 916
    2023-06-01 $442,000 (3.5%) $984,712 (17.9%) 0.99 892
    2023-07-01 $450,000 (5.9%) $1,036,013 (19.9%) 1.02 885
    2023-08-01 $449,225 (8.3%) $1,037,554 (23.8%) 1.03 900
    2023-09-01 $459,000 (10.0%) $1,056,778 (26.0%) 1.07 939
    2023-10-01 $467,450 (8.7%) $1,042,019 (21.2%) 1.10 1,057
    2023-11-01 $469,000 (8.6%) $1,025,264 (20.2%) 1.12 1,177
    2023-12-01 $475,000 (10.5%) $1,018,127 (15.3%) 1.16 1,261
    2024-01-01 $482,000 (10.2%) $1,007,183 (14.3%) 1.18 1,372
    2024-02-01 $475,000 (9.3%) $991,392 (-0.4%) 1.14 1,531
    2024-03-01 $460,000 (5.6%) $975,144 (-6.5%) 1.08 1,608
    2024-04-01 $459,725 (3.1%) $952,258 (-10.6%) 1.07 1,620
    2024-05-01 $459,950 (3.4%) $956,279 (-1.1%) 1.05 1,576
    2024-06-01 $450,000 (1.8%) $893,373 (-9.3%) 1.02 1,595
    2024-07-01 $450,000 (0.0%) $898,921 (-13.2%) 1.03 1,544
    2024-08-01 $443,950 (-1.2%) $877,569 (-15.4%) 1.03 1,466
    2024-09-01 $447,000 (-2.6%) $883,159 (-16.4%) 1.05 1,494
    2024-10-01 $449,450 (-3.9%) $899,560 (-13.7%) 1.06 1,529
    2024-11-01 $444,450 (-5.2%) $909,061 (-11.3%) 1.07 1,656
    2024-12-01 $449,000 (-5.5%) $951,916 (-6.5%) 1.12 1,715
    2025-01-01 $450,000 (-6.6%) $968,945 (-3.8%) 1.12 1,836
    2025-02-01 $450,000 (-5.3%) $968,030 (-2.4%) 1.09 1,969
    2025-03-01 $449,900 (-2.2%) $930,600 (-4.6%) 1.06 2,045
    2025-04-01 $449,973 (-2.1%) $920,809 (-3.3%) 1.04 2,023
    2025-05-01 $449,000 (-2.4%) $927,774 (-3.0%) 1.02 1,896
    2025-06-01 $442,300 (-1.7%) $896,484 (0.4%) 1.00 1,842
    Sebastian's median listing price for 2025-06-01 was $442,300, a difference of $-7,700 (-1.7%) versus the prior year and $-6,700 versus the prior month.

    Sebastian's median listing price comes in at 100% of the national average.

    Sebastian's average listing price for 2025-06-01 was $896,484, a difference of $3,111 (0.4%) versus the prior year and $-31,290 versus the prior month.

    For the 2025-06-01 period, Sebastian had 1,842 MLS listings, a difference of -54 listings (-3%) versus the prior month and 247 listings (15%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Sebastian (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 81 days 2,058 sqft
    2018-02-01 70 days 2,059 sqft
    2018-03-01 64 days 2,050 sqft
    2018-04-01 73 days 2,078 sqft
    2018-05-01 79 days 2,038 sqft
    2018-06-01 85 days 2,038 sqft
    2018-07-01 88 days 2,049 sqft
    2018-08-01 89 days 2,043 sqft
    2018-09-01 84 days 2,046 sqft
    2018-10-01 79 days 2,042 sqft
    2018-11-01 78 days 2,038 sqft
    2018-12-01 79 days 2,018 sqft
    2019-01-01 86 days 2,004 sqft
    2019-02-01 78 days 2,005 sqft
    2019-03-01 77 days 1,991 sqft
    2019-04-01 79 days 1,981 sqft
    2019-05-01 81 days 1,961 sqft
    2019-06-01 89 days 1,970 sqft
    2019-07-01 92 days 1,975 sqft
    2019-08-01 89 days 1,975 sqft
    2019-09-01 88 days 1,978 sqft
    2019-10-01 89 days 1,980 sqft
    2019-11-01 82 days 1,914 sqft
    2019-12-01 76 days 1,900 sqft
    2020-01-01 80 days 1,901 sqft
    2020-02-01 82 days 1,900 sqft
    2020-03-01 74 days 1,905 sqft
    2020-04-01 83 days 1,908 sqft
    2020-05-01 95 days 1,900 sqft
    2020-06-01 101 days 1,900 sqft
    2020-07-01 98 days 1,900 sqft
    2020-08-01 89 days 1,900 sqft
    2020-09-01 93 days 1,900 sqft
    2020-10-01 83 days 1,900 sqft
    2020-11-01 67 days 1,900 sqft
    2020-12-01 67 days 1,900 sqft
    2021-01-01 69 days 1,900 sqft
    2021-02-01 50 days 1,851 sqft
    2021-03-01 45 days 1,848 sqft
    2021-04-01 42 days 1,861 sqft
    2021-05-01 46 days 1,865 sqft
    2021-06-01 45 days 1,833 sqft
    2021-07-01 46 days 1,770 sqft
    2021-08-01 47 days 1,766 sqft
    2021-09-01 47 days 1,729 sqft
    2021-10-01 45 days 1,815 sqft
    2021-11-01 47 days 1,819 sqft
    2021-12-01 52 days 1,838 sqft
    2022-01-01 49 days 1,868 sqft
    2022-02-01 35 days 1,757 sqft
    2022-03-01 34 days 1,693 sqft
    2022-04-01 33 days 1,700 sqft
    2022-05-01 35 days 1,700 sqft
    2022-06-01 36 days 1,709 sqft
    2022-07-01 37 days 1,700 sqft
    2022-08-01 48 days 1,717 sqft
    2022-09-01 58 days 1,708 sqft
    2022-10-01 65 days 1,788 sqft
    2022-11-01 64 days 1,794 sqft
    2022-12-01 64 days 1,780 sqft
    2023-01-01 71 days 1,789 sqft
    2023-02-01 61 days 1,805 sqft
    2023-03-01 57 days 1,821 sqft
    2023-04-01 63 days 1,828 sqft
    2023-05-01 65 days 1,780 sqft
    2023-06-01 66 days 1,783 sqft
    2023-07-01 71 days 1,811 sqft
    2023-08-01 65 days 1,828 sqft
    2023-09-01 64 days 1,828 sqft
    2023-10-01 60 days 1,819 sqft
    2023-11-01 58 days 1,813 sqft
    2023-12-01 65 days 1,770 sqft
    2024-01-01 70 days 1,786 sqft
    2024-02-01 65 days 1,778 sqft
    2024-03-01 63 days 1,780 sqft
    2024-04-01 70 days 1,795 sqft
    2024-05-01 73 days 1,786 sqft
    2024-06-01 76 days 1,749 sqft
    2024-07-01 79 days 1,750 sqft
    2024-08-01 79 days 1,760 sqft
    2024-09-01 79 days 1,761 sqft
    2024-10-01 78 days 1,762 sqft
    2024-11-01 73 days 1,768 sqft
    2024-12-01 76 days 1,770 sqft
    2025-01-01 75 days 1,773 sqft
    2025-02-01 75 days 1,782 sqft
    2025-03-01 69 days 1,751 sqft
    2025-04-01 77 days 1,753 sqft
    2025-05-01 85 days 1,750 sqft
    2025-06-01 92 days 1,750 sqft
    Sebastian's median listing age (time on market) for 2025-06-01 was 92 days. This is 22% longer than the same period one year ago.

    Sebastian's median square footage for active listings during the 2025-06-01 period was 1,750 sqft. One year prior, the average listing was 1,749 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).