Watertown FHA Loans

Watertown-Fort Atkinson, WI

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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.

    Watertown's 56 lenders originated 251 FHA loans during 2021. The total origination value was $50,065,000, with an average FHA loan value of $199,462.

    Watertown FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Watertown averaged 5.21% for the week of 2022-08-05, compared to the national average (all FHA variants) of 5.305% for the same period.

    The average rate for the prior week (2022-07-29) was 5.25% and one month ago for the week of 2022-07-01, the average rate was 5.64%.

    The average rate one year ago was 3.04%.

    For refis of the same type during the week of 2022-08-05, the average rate was 5.24%.

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

    Watertown 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 Watertown level.

    Name # of Loans 2021 Avg. 30yFix Rate 2021 Avg. Total Fees
    QUICKEN LOANS, LLC 30 2.68% $6,070
    CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP 26 3.35% $8,666
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 21 3.33% $6,371
    Mr. Cooper ( Nationstar Mortgage ) 12 3.39% $4,478
    LAKEVIEW LOAN SERVICING, LLC 10 3.08% $3,859
    LOANDEPOT.COM, LLC 8 3.20% $5,548
    FREEDOM MORTGAGE CORPORATION 8 2.83% $4,149
    INLANTA MORTGAGE, INC. 7 3.21% $6,711
    PENNYMAC LOAN SERVICES, LLC 7 3.11% $4,536
    GUILD MORTGAGE COMPANY 6 2.85% $9,273
    CALIBER HOME LOANS, INC. 6 2.64% $5,427
    WISCONSIN MORTGAGE CORPORATION 5 2.88% $5,317
    Carrington Mortgage Services, LLC 4 3.09% $6,590
    GUARANTEED RATE, INC. 4 2.78% $7,534
    HOME POINT FINANCIAL CORPORATION 4 2.97% $5,921
    ENVOY MORTGAGE, LTD 3 3.33% $7,356
    NEWREZ LLC 3 3.21% $5,117
    BROKER SOLUTIONS, INC. 3 3.33% $7,411
    V.I.P. MORTGAGE, INC. 3 3.13% $7,492
    PLANET HOME LENDING, LLC 2 2.75% $5,296
    Barrington Bank & Trust Company, N.A. 2 3.25% $6,946
    A + MORTGAGE SERVICES, INC. 2 2.69% $4,032
    Paramount Residential Mortgage Group, Inc. 2 3.06% $7,856
    Ixonia Bank 2 3.56% $10,013
    GSF Mortgage Corporation 2 3.25% $6,685
    Servion, Inc. 2 2.75% $7,718
    THOMPSON KANE & COMPANY, LLC 2 3.56% $7,487
    UNITED WHOLESALE MORTGAGE, LLC 2 2.51% $5,584
    VILLAGE CAPITAL & INVESTMENT LLC 2 2.87% $1,474
    AMERICAN PACIFIC MORTGAGE CORPORATION 2 3.13% $8,018
    HOMESIDE FINANCIAL, LLC 1 3.63% $6,392
    AMERICAN FINANCIAL NETWORK, INC. 1 2.75% $12,661
    American Mortgage & Equity Consultants, Inc. 1 3.75% $7,247
    Associated Bank 1 3.00% $4,944
    Bank Five Nine 1 3.63% $7,034
    Bank of England 1 3.13% $9,217
    Bell Bank 1 3.13% $6,328
    CHERRY CREEK MORTGAGE, LLC 1 4.25% $5,367
    CORNERSTONE HOME LENDING, INC. 1 3.75% $5,457
    CROSSCOUNTRY MORTGAGE, LLC 1 2.88% $8,726
    DAS Acquisition Company, LLC 1 2.75% $6,253
    DRAPER AND KRAMER MORTGAGE CORP. 1 3.38% $6,543
    FINANCE OF AMERICA MORTGAGE LLC 1 2.88% $3,475
    HOMEBRIDGE FINANCIAL SERVICES, INC. 1 2.25% $3,310
    AMCAP MORTGAGE, LTD. 1 3.25% $5,226
    JPMorgan Chase Bank 1 2.75% $8,319
    LAND HOME FINANCIAL SERVICES, INC. 1 2.88% $6,151
    LEADERONE FINANCIAL CORPORATION 1 3.13% $6,883
    MID AMERICA MORTGAGE, INC. 1 2.75% $2,359
    Mortgage Research Center, LLC 1 3.38% $6,649
    MUTUAL OF OMAHA MORTGAGE, INC. 1 2.25% $6,680
    NATIONS RELIABLE LENDING, LLC 1 2.75% $8,771
    Neighborhood Loans, Inc. 1 3.25% $9,022
    PNC Bank 1 3.00% $3,073
    Prosperity Home Mortgage, LLC 1 3.00% $6,621
    TOTAL MORTGAGE SERVICES, LLC 1 3.50% $6,745

    The top Watertown FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 30 FHA loans originated. Their average total fees are $6,070, which is $2,596 lower than the next largest lender, CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP.

    The lowest fee Watertown FHA lenders (with over 10 loans originated) are LAKEVIEW LOAN SERVICING, LLC ($3,859), Mr. Cooper ( Nationstar Mortgage ) ($4,478), QUICKEN LOANS, LLC ($6,070), FAIRWAY INDEPENDENT MORTGAGE CORPORATION ($6,371) and CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP ($8,666).

    The lowest rate Watertown FHA lenders (with over 10 loans originated) are QUICKEN LOANS, LLC (2.68%), LAKEVIEW LOAN SERVICING, LLC (3.08%), FAIRWAY INDEPENDENT MORTGAGE CORPORATION (3.33%), CARDINAL FINANCIAL COMPANY, LIMITED PARTNERSHIP (3.35%) and Mr. Cooper ( Nationstar Mortgage ) (3.39%).

    Watertown FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    WATERTOWN-FORT ATKINSON, WI JEFFERSON 2022 $420,680 $538,650 $651,050 $809,150

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Watertown (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 $255,000 (8.5%) $317,325 (15.4%) 0.00 271
    2018-02-01 $264,950 (12.8%) $331,822 (27.7%) 0.00 263
    2018-03-01 $275,000 (19.6%) $350,885 (37.5%) 0.00 272
    2018-04-01 $272,250 (11.1%) $343,672 (17.7%) 0.00 259
    2018-05-01 $277,450 (12.1%) $370,517 (25.7%) 0.00 231
    2018-06-01 $279,000 (11.6%) $362,146 (20.0%) 0.00 258
    2018-07-01 $275,000 (7.8%) $349,632 (14.6%) 0.00 288
    2018-08-01 $269,900 (4.8%) $342,737 (6.8%) 0.00 343
    2018-09-01 $269,900 (2.9%) $332,950 (2.9%) 0.00 342
    2018-10-01 $274,950 (5.8%) $339,884 (5.3%) 0.00 335
    2018-11-01 $271,400 (8.6%) $331,641 (4.0%) 0.00 334
    2018-12-01 $265,000 (3.9%) $319,764 (0.2%) 0.00 298
    2019-01-01 $268,000 (5.1%) $329,171 (3.7%) 0.00 259
    2019-02-01 $272,900 (3.0%) $341,071 (2.8%) 0.00 225
    2019-03-01 $284,471 (3.4%) $354,106 (0.9%) 0.00 251
    2019-04-01 $293,021 (7.6%) $364,918 (6.2%) 0.00 319
    2019-05-01 $297,400 (7.2%) $376,879 (1.7%) 0.00 242
    2019-06-01 $299,900 (7.5%) $391,960 (8.2%) 0.00 256
    2019-07-01 $280,000 (1.8%) $376,125 (7.6%) 0.00 274
    2019-08-01 $282,100 (4.5%) $375,630 (9.6%) 0.00 287
    2019-09-01 $284,550 (5.4%) $373,889 (12.3%) 0.00 304
    2019-10-01 $289,900 (5.4%) $376,698 (10.8%) 0.00 282
    2019-11-01 $279,900 (3.1%) $359,639 (8.4%) 0.00 264
    2019-12-01 $280,000 (5.7%) $357,140 (11.7%) 0.00 227
    2020-01-01 $282,450 (5.4%) $364,719 (10.8%) 0.00 206
    2020-02-01 $309,900 (13.6%) $373,495 (9.5%) 0.00 198
    2020-03-01 $319,900 (12.5%) $386,925 (9.3%) 0.00 200
    2020-04-01 $307,400 (4.9%) $369,184 (1.2%) 0.00 166
    2020-05-01 $299,900 (0.8%) $357,319 (-5.2%) 0.00 159
    2020-06-01 $314,450 (4.9%) $354,558 (-9.5%) 0.00 168
    2020-07-01 $314,900 (12.5%) $372,220 (-1.0%) 0.00 173
    2020-08-01 $310,000 (9.9%) $392,931 (4.6%) 0.00 172
    2020-09-01 $282,500 (-0.7%) $384,692 (2.9%) 0.00 168
    2020-10-01 $285,000 (-1.7%) $389,030 (3.3%) 0.00 152
    2020-11-01 $307,400 (9.8%) $401,044 (11.5%) 0.00 144
    2020-12-01 $289,900 (3.5%) $396,291 (11.0%) 0.00 119
    2021-01-01 $314,900 (11.5%) $379,690 (4.1%) 0.00 82
    2021-02-01 $327,400 (5.7%) $397,516 (6.4%) 0.00 66
    2021-03-01 $335,000 (4.7%) $419,272 (8.4%) 0.00 68
    2021-04-01 $349,900 (13.8%) $404,466 (9.6%) 0.00 76
    2021-05-01 $350,000 (16.7%) $411,685 (15.2%) 0.00 86
    2021-06-01 $349,950 (11.3%) $398,005 (12.3%) 0.00 99
    2021-07-01 $341,900 (8.6%) $407,213 (9.4%) 0.00 120
    2021-08-01 $312,200 (0.7%) $391,923 (-0.3%) 0.00 126
    2021-09-01 $322,450 (14.1%) $396,087 (3.0%) 0.00 137
    2021-10-01 $329,900 (15.8%) $417,479 (7.3%) 0.00 136
    2021-11-01 $304,000 (-1.1%) $374,517 (-6.6%) 0.00 118
    2021-12-01 $327,000 (12.8%) $391,313 (-1.3%) 0.00 98
    2022-01-01 $379,500 (20.5%) $411,955 (8.5%) 0.00 86
    2022-02-01 $387,400 (18.3%) $412,230 (3.7%) 0.00 71
    2022-03-01 $389,900 (16.4%) $409,409 (-2.4%) 0.00 64
    2022-04-01 $389,900 (11.4%) $413,230 (2.2%) 0.00 72
    2022-05-01 $389,900 (11.4%) $428,711 (4.1%) 0.00 86
    2022-06-01 $374,900 (7.1%) $452,955 (13.8%) 0.00 106
    Watertown's median listing price for 2022-06-01 was $374,900, a difference of $24,950 (7.1%) versus the prior year and $-15,000 versus the prior month.

    Watertown's median listing price comes in at 0% of the national average.

    Watertown's average listing price for 2022-06-01 was $452,955, a difference of $54,950 (13.8%) versus the prior year and $24,244 versus the prior month.

    For the 2022-06-01 period, Watertown had 106 MLS listings, a difference of 20 listings (23%) versus the prior month and 7 listings (7%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Watertown (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 0 days 1,804 sqft
    2018-02-01 0 days 1,862 sqft
    2018-03-01 0 days 1,992 sqft
    2018-04-01 0 days 1,887 sqft
    2018-05-01 0 days 1,992 sqft
    2018-06-01 0 days 2,000 sqft
    2018-07-01 0 days 1,907 sqft
    2018-08-01 0 days 1,949 sqft
    2018-09-01 0 days 1,832 sqft
    2018-10-01 0 days 1,906 sqft
    2018-11-01 0 days 1,916 sqft
    2018-12-01 0 days 1,800 sqft
    2019-01-01 0 days 1,802 sqft
    2019-02-01 0 days 1,822 sqft
    2019-03-01 0 days 1,974 sqft
    2019-04-01 0 days 2,072 sqft
    2019-05-01 0 days 2,052 sqft
    2019-06-01 0 days 2,086 sqft
    2019-07-01 0 days 2,054 sqft
    2019-08-01 0 days 2,094 sqft
    2019-09-01 0 days 2,149 sqft
    2019-10-01 0 days 2,155 sqft
    2019-11-01 0 days 2,000 sqft
    2019-12-01 0 days 1,955 sqft
    2020-01-01 0 days 1,957 sqft
    2020-02-01 0 days 1,981 sqft
    2020-03-01 0 days 1,981 sqft
    2020-04-01 0 days 1,962 sqft
    2020-05-01 0 days 1,943 sqft
    2020-06-01 0 days 1,928 sqft
    2020-07-01 0 days 1,948 sqft
    2020-08-01 0 days 1,980 sqft
    2020-09-01 0 days 1,945 sqft
    2020-10-01 0 days 1,932 sqft
    2020-11-01 0 days 2,081 sqft
    2020-12-01 0 days 1,916 sqft
    2021-01-01 0 days 1,900 sqft
    2021-02-01 0 days 1,771 sqft
    2021-03-01 0 days 1,902 sqft
    2021-04-01 0 days 1,943 sqft
    2021-05-01 0 days 1,996 sqft
    2021-06-01 0 days 1,996 sqft
    2021-07-01 0 days 1,996 sqft
    2021-08-01 0 days 1,934 sqft
    2021-09-01 0 days 1,978 sqft
    2021-10-01 0 days 1,897 sqft
    2021-11-01 0 days 1,931 sqft
    2021-12-01 0 days 1,996 sqft
    2022-01-01 0 days 1,996 sqft
    2022-02-01 0 days 1,996 sqft
    2022-03-01 0 days 1,977 sqft
    2022-04-01 0 days 1,996 sqft
    2022-05-01 0 days 1,982 sqft
    2022-06-01 0 days 1,882 sqft
    Watertown's median listing age (time on market) for 2022-06-01 was 0 days.

    Watertown's median square footage for active listings during the 2022-06-01 period was 1,882 sqft. One year prior, the average listing was 1,996 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).