State College FHA Loan Rates, Closing Costs & Stats

STATE COLLEGE, PA

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.

State College's 27 lenders originated 97 FHA loans during 2023. The total origination value was $23,005,000, with an average FHA loan value of $237,165.

State College FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in State College averaged 6.5% for the week of 2024-05-17, compared to the national average (all FHA variants) of 6.744% for the same period.

State College's average FHA mortgage closing costs are $8,411.

The average rate for the prior week (2024-05-10) was 6.44% and one month ago for the week of 2024-04-12, the average rate was 6.6%.

The average rate one year ago was 6.36%.

For refis of the same type during the week of 2024-05-17, the average rate was 6.94%.

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

State College 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 State College level.

Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
Citizens Bank 13 6.03% $14,243
QUICKEN LOANS, LLC 13 6.12% $13,420
UNITED WHOLESALE MORTGAGE, LLC 11 6.50% $12,303
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 10 7.06% $10,741
NEWREZ LLC 5 7.13% $10,518
HOMESIDE FINANCIAL, LLC 4 7.28% $8,169
Flagstar Bank, FSB 4 7.20% $9,607
TOWNE MORTGAGE COMPANY 3 5.75% $12,214
First National Bank of Pennsylvania 2 6.00% $7,344
FIRST HERITAGE FINANCIAL, LLC 2 7.12% $6,432
AMERISAVE MORTGAGE CORPORATION 2 6.75% $11,990
Century Mortgage Company DBA Century Lending Company 2 6.19% $9,103
Mr. Cooper ( Nationstar Mortgage ) 2 6.38% $14,794
AMERICAN FINANCIAL NETWORK, INC. 1 6.63% $9,999
VILLAGE CAPITAL MORTGAGE 1 6.75% $3,773
AmeriServ Financial Bank 1 5.99% $12,490
Carrington Mortgage Services, LLC 1 6.50% $13,076
CONTOUR MORTGAGE CORPORATION 1 5.63% $12,125
EMM LOANS LLC 1 5.50% $10,395
Equity Prime Mortgage LLC 1 7.75% $10,664
Integrity Home Mortgage Corp 1 6.25% $10,405
LIBERTY HOME MORTGAGE CORPORATION 1 6.25% $13,450
LOANDEPOT.COM, LLC 1 5.99% $13,807
LOANPAL, LLC 1 6.50% $11,927
Meridian Bank Corporation 1 6.50% $15,708
NORWICH COMMERCIAL GROUP, INC. 1 7.75% $10,821
SUMMIT FUNDING, INC. 1 6.99% $20,037

The top State College FHA lender as defined by loan originations is Citizens Bank, with 13 FHA loans originated. Their average total fees are $14,243, which is $823 higher than the next largest lender, QUICKEN LOANS, LLC.

The lowest fee State College FHA lenders (with over 10 loans originated) are FAIRWAY INDEPENDENT MORTGAGE CORPORATION ($10,741), UNITED WHOLESALE MORTGAGE, LLC ($12,303), QUICKEN LOANS, LLC ($13,420), Citizens Bank ($14,243) and .

The lowest rate State College FHA lenders (with over 10 loans originated) are Citizens Bank (6.03%), QUICKEN LOANS, LLC (6.12%), UNITED WHOLESALE MORTGAGE, LLC (6.50%), FAIRWAY INDEPENDENT MORTGAGE CORPORATION (7.06%) and .

State College FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
STATE COLLEGE, PA CENTRE 2022 $420,680 $538,650 $651,050 $809,150
STATE COLLEGE, PA CENTRE 2023 $472,030 $604,400 $730,525 $907,900

Market Conditions (Median, Average Prices & Listing Count)

Realtor.com - State College (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 $245,950 (11.9%) $326,723 (10.2%) 0.91 212
2018-02-01 $264,200 (8.7%) $348,603 (12.3%) 0.96 227
2018-03-01 $297,000 (5.6%) $363,380 (9.4%) 1.04 254
2018-04-01 $293,725 (4.9%) $370,731 (12.3%) 1.00 263
2018-05-01 $286,175 (5.8%) $362,863 (13.2%) 0.96 294
2018-06-01 $295,824 (10.3%) $373,913 (16.2%) 0.99 313
2018-07-01 $284,950 (10.6%) $365,469 (20.0%) 0.95 305
2018-08-01 $276,200 (9.5%) $363,625 (19.1%) 0.93 288
2018-09-01 $269,900 (5.5%) $348,033 (9.0%) 0.91 302
2018-10-01 $264,423 (3.8%) $340,813 (6.7%) 0.90 297
2018-11-01 $249,950 (-0.5%) $335,066 (2.3%) 0.85 291
2018-12-01 $239,307 (-0.1%) $316,597 (-3.0%) 0.83 251
2019-01-01 $239,900 (-2.5%) $308,634 (-5.5%) 0.83 208
2019-02-01 $272,050 (3.0%) $321,722 (-7.7%) 0.92 228
2019-03-01 $305,900 (3.0%) $355,037 (-2.3%) 1.00 269
2019-04-01 $328,625 (11.9%) $382,936 (3.3%) 1.04 300
2019-05-01 $321,900 (12.5%) $387,824 (6.9%) 1.01 305
2019-06-01 $318,000 (7.5%) $375,898 (0.5%) 0.99 339
2019-07-01 $303,900 (6.7%) $362,563 (-0.8%) 0.95 352
2019-08-01 $297,536 (7.7%) $357,027 (-1.8%) 0.94 347
2019-09-01 $281,991 (4.5%) $346,079 (-0.6%) 0.90 335
2019-10-01 $269,675 (2.0%) $334,424 (-1.9%) 0.87 327
2019-11-01 $270,495 (8.2%) $330,331 (-1.4%) 0.89 293
2019-12-01 $252,450 (5.5%) $315,755 (-0.3%) 0.84 247
2020-01-01 $259,925 (8.4%) $323,023 (4.7%) 0.87 209
2020-02-01 $281,450 (3.5%) $352,741 (9.6%) 0.92 213
2020-03-01 $301,087 (-1.6%) $370,826 (4.5%) 0.94 255
2020-04-01 $313,450 (-4.6%) $375,417 (-2.0%) 0.98 262
2020-05-01 $305,000 (-5.3%) $372,614 (-3.9%) 0.93 295
2020-06-01 $329,900 (3.7%) $382,590 (1.8%) 0.97 285
2020-07-01 $328,850 (8.2%) $380,299 (4.9%) 0.95 276
2020-08-01 $319,900 (7.5%) $374,887 (5.0%) 0.92 267
2020-09-01 $307,475 (9.0%) $371,215 (7.3%) 0.88 253
2020-10-01 $313,750 (16.3%) $377,325 (12.8%) 0.90 224
2020-11-01 $325,000 (20.2%) $387,602 (17.3%) 0.95 182
2020-12-01 $314,950 (24.8%) $370,539 (17.4%) 0.94 161
2021-01-01 $299,500 (15.2%) $363,498 (12.5%) 0.89 146
2021-02-01 $317,500 (12.8%) $368,812 (4.6%) 0.92 121
2021-03-01 $322,500 (7.1%) $388,086 (4.7%) 0.92 110
2021-04-01 $287,400 (-8.3%) $381,183 (1.5%) 0.78 118
2021-05-01 $302,000 (-1.0%) $380,810 (2.2%) 0.80 137
2021-06-01 $312,450 (-5.3%) $387,465 (1.3%) 0.82 147
2021-07-01 $319,900 (-2.7%) $389,878 (2.5%) 0.84 160
2021-08-01 $299,675 (-6.3%) $378,124 (0.9%) 0.80 167
2021-09-01 $294,218 (-4.3%) $386,670 (4.2%) 0.78 160
2021-10-01 $279,900 (-10.8%) $374,701 (-0.7%) 0.75 161
2021-11-01 $289,000 (-11.1%) $400,407 (3.3%) 0.77 135
2021-12-01 $299,950 (-4.8%) $398,933 (7.7%) 0.81 104
2022-01-01 $291,990 (-2.5%) $428,551 (17.9%) 0.79 87
2022-02-01 $341,250 (7.5%) $486,142 (31.8%) 0.89 77
2022-03-01 $338,250 (4.9%) $462,960 (19.3%) 0.85 93
2022-04-01 $354,900 (23.5%) $455,313 (19.5%) 0.85 106
2022-05-01 $364,725 (20.8%) $431,328 (13.3%) 0.83 121
2022-06-01 $371,875 (19.0%) $417,298 (7.7%) 0.83 134
2022-07-01 $370,000 (15.7%) $427,806 (9.7%) 0.83 156
2022-08-01 $374,975 (25.1%) $435,777 (15.3%) 0.87 156
2022-09-01 $374,500 (27.3%) $433,753 (12.2%) 0.88 155
2022-10-01 $375,000 (34.0%) $435,118 (16.1%) 0.88 151
2022-11-01 $351,945 (21.8%) $421,422 (5.3%) 0.85 143
2022-12-01 $339,900 (13.3%) $417,084 (4.6%) 0.84 113
2023-01-01 $318,000 (8.9%) $405,006 (-5.5%) 0.79 97
2023-02-01 $379,950 (11.3%) $454,929 (-6.4%) 0.92 100
2023-03-01 $417,450 (23.4%) $577,425 (24.7%) 0.98 113
2023-04-01 $429,000 (20.9%) $572,502 (25.7%) 1.00 133
2023-05-01 $461,825 (26.6%) $577,368 (33.9%) 1.05 125
2023-06-01 $447,500 (20.3%) $605,428 (45.1%) 1.01 136
2023-07-01 $450,000 (21.6%) $612,849 (43.3%) 1.02 140
2023-08-01 $433,500 (15.6%) $569,060 (30.6%) 1.00 135
2023-09-01 $450,000 (20.2%) $544,574 (25.6%) 1.05 148
2023-10-01 $421,950 (12.5%) $495,781 (13.9%) 0.99 164
2023-11-01 $399,900 (13.6%) $470,377 (11.6%) 0.95 164
2023-12-01 $369,990 (8.9%) $466,997 (12.0%) 0.90 147
2024-01-01 $368,500 (15.9%) $464,429 (14.7%) 0.90 137
2024-02-01 $373,495 (-1.7%) $470,057 (3.3%) 0.90 132
2024-03-01 $399,500 (-4.3%) $513,740 (-11.0%) 0.94 159
2024-04-01 $398,198 (-7.2%) $519,216 (-9.3%) 0.93 170
State College's median listing price for 2024-04-01 was $398,198, a difference of $-30,802 (-7.2%) versus the prior year and $-1,302 versus the prior month.

State College's median listing price comes in at 93% of the national average.

State College's average listing price for 2024-04-01 was $519,216, a difference of $-53,286 (-9.3%) versus the prior year and $5,476 versus the prior month.

For the 2024-04-01 period, State College had 170 MLS listings, a difference of 11 listings (7%) versus the prior month and 37 listings (28%) versus the prior year.

Median Listing Time on Market & Square Footage

Realtor.com - State College (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
Date Median Listing Time on Market Median Square Footage
2018-01-01 80 days 1,800 sqft
2018-02-01 80 days 1,850 sqft
2018-03-01 51 days 2,060 sqft
2018-04-01 46 days 2,046 sqft
2018-05-01 45 days 2,047 sqft
2018-06-01 53 days 2,147 sqft
2018-07-01 65 days 2,067 sqft
2018-08-01 70 days 2,130 sqft
2018-09-01 70 days 2,090 sqft
2018-10-01 78 days 2,029 sqft
2018-11-01 79 days 2,012 sqft
2018-12-01 80 days 1,909 sqft
2019-01-01 78 days 1,926 sqft
2019-02-01 75 days 2,028 sqft
2019-03-01 51 days 2,118 sqft
2019-04-01 38 days 2,213 sqft
2019-05-01 44 days 2,229 sqft
2019-06-01 51 days 2,149 sqft
2019-07-01 54 days 2,102 sqft
2019-08-01 59 days 2,079 sqft
2019-09-01 67 days 2,021 sqft
2019-10-01 72 days 1,957 sqft
2019-11-01 72 days 1,872 sqft
2019-12-01 85 days 1,770 sqft
2020-01-01 80 days 1,776 sqft
2020-02-01 56 days 1,842 sqft
2020-03-01 40 days 1,928 sqft
2020-04-01 60 days 1,941 sqft
2020-05-01 72 days 1,923 sqft
2020-06-01 74 days 2,006 sqft
2020-07-01 61 days 1,966 sqft
2020-08-01 57 days 1,963 sqft
2020-09-01 60 days 2,046 sqft
2020-10-01 68 days 2,084 sqft
2020-11-01 83 days 2,102 sqft
2020-12-01 92 days 2,041 sqft
2021-01-01 64 days 1,953 sqft
2021-02-01 45 days 1,876 sqft
2021-03-01 50 days 1,849 sqft
2021-04-01 38 days 1,705 sqft
2021-05-01 37 days 1,847 sqft
2021-06-01 42 days 1,878 sqft
2021-07-01 42 days 1,837 sqft
2021-08-01 43 days 1,877 sqft
2021-09-01 50 days 1,788 sqft
2021-10-01 51 days 1,795 sqft
2021-11-01 60 days 1,808 sqft
2021-12-01 69 days 1,849 sqft
2022-01-01 75 days 1,927 sqft
2022-02-01 53 days 2,008 sqft
2022-03-01 32 days 1,954 sqft
2022-04-01 31 days 1,956 sqft
2022-05-01 32 days 1,969 sqft
2022-06-01 32 days 1,959 sqft
2022-07-01 33 days 1,938 sqft
2022-08-01 43 days 1,986 sqft
2022-09-01 49 days 1,969 sqft
2022-10-01 51 days 1,971 sqft
2022-11-01 57 days 1,853 sqft
2022-12-01 68 days 1,912 sqft
2023-01-01 75 days 1,820 sqft
2023-02-01 59 days 2,030 sqft
2023-03-01 33 days 2,196 sqft
2023-04-01 31 days 2,250 sqft
2023-05-01 46 days 2,257 sqft
2023-06-01 40 days 2,385 sqft
2023-07-01 37 days 2,260 sqft
2023-08-01 46 days 2,263 sqft
2023-09-01 38 days 2,335 sqft
2023-10-01 40 days 2,163 sqft
2023-11-01 43 days 2,085 sqft
2023-12-01 57 days 2,000 sqft
2024-01-01 72 days 2,000 sqft
2024-02-01 49 days 1,969 sqft
2024-03-01 36 days 2,016 sqft
2024-04-01 38 days 2,043 sqft
State College's median listing age (time on market) for 2024-04-01 was 38 days. This is 25% longer than the same period one year ago.

State College's median square footage for active listings during the 2024-04-01 period was 2,043 sqft. One year prior, the average listing was 2,250 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).