Worcester FHA Loan Rates, Closing Costs & Stats

WORCESTER, MA-CT

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.

Worcester's 120 lenders originated 1,724 FHA loans during 2024. The total origination value was $666,250,000, with an average FHA loan value of $386,456.

Worcester FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Worcester averaged 0.37% for the week of 2025-06-20, compared to the national average (all FHA variants) of 0% for the same period.

Worcester's average FHA mortgage closing costs are $9,648.

The average rate for the prior week (2025-06-13) was 6.85% and one month ago for the week of 2025-05-16, the average rate was 6.71%.

The average rate one year ago was 6.87%.

For refis of the same type during the week of 2025-06-20, the average rate was -0.02%.

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

Worcester 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 Worcester level.

Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
UNITED WHOLESALE MORTGAGE, LLC 208 6.29% $15,863
QUICKEN LOANS, LLC 155 6.23% $14,639
TOTAL MORTGAGE SERVICES, LLC 101 6.99% $16,116
CROSSCOUNTRY MORTGAGE, LLC 74 6.69% $14,889
BROKER SOLUTIONS, INC. 68 6.50% $14,761
GUILD MORTGAGE COMPANY 63 6.68% $15,272
GUARANTEED RATE, INC. 60 6.37% $14,124
FREEDOM MORTGAGE CORPORATION 53 6.33% $14,763
CMG MORTGAGE, INC. 44 6.85% $14,549
MOVEMENT MORTGAGE, LLC 41 6.50% $14,763
PENNYMAC LOAN SERVICES, LLC 37 6.07% $11,594
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 34 6.97% $13,916
LOANDEPOT.COM, LLC 30 6.10% $15,087
LAKEVIEW LOAN SERVICING, LLC 29 6.29% $10,644
NEWREZ LLC 27 6.36% $13,849
OCMBC, INC. 26 6.49% $15,621
HARBORONE MORTGAGE, LLC 24 6.36% $14,173
Mr. Cooper ( Nationstar Mortgage ) 24 6.36% $11,807
Leader Bank 22 6.11% $11,363
RADIUS FINANCIAL GROUP INC. 19 6.30% $19,539
ARK-LA-TEX FINANCIAL SERVICES, LLC. 15 6.43% $11,940
MORTGAGE EQUITY PARTNERS LLC 15 6.50% $17,665
Paramount Residential Mortgage Group, Inc. 15 6.67% $15,078
MSA MORTGAGE, LLC 14 6.07% $15,280
MUTUAL OF OMAHA MORTGAGE, INC. 14 6.25% $20,086
Nations Lending Corporation 14 6.64% $18,893
BAY EQUITY LLC 11 6.45% $13,121
DREW MORTGAGE ASSOCIATES, INC. 11 6.90% $14,614
SALEM FIVE MORTGAGE COMPANY, LLC 11 6.19% $12,127
AMERICAN FINANCIAL NETWORK, INC. 11 6.47% $18,653
Semper Home Loans, Inc. 11 6.66% $16,818
HOMEBRIDGE FINANCIAL SERVICES, INC. 9 6.51% $9,427
BAYCOAST MORTGAGE COMPANY, LLC 9 6.04% $11,779
FIRST MORTGAGE COMPANY, INC. 9 6.35% $14,877
GENEVA FINANCIAL, LLC 9 6.74% $16,443
PLAZA HOME MORTGAGE, INC. 8 6.75% $15,669
NORTHPOINT MORTGAGE, INC. 8 6.37% $16,815
Plains Commerce Bank 8 6.55% $16,024
NFM, INC. 8 6.83% $16,506
VILLAGE CAPITAL MORTGAGE 8 6.28% $11,470
AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 8 6.33% $18,851
Ixonia Bank 8 6.70% $18,539
Evolve Bank & Trust 7 6.75% $11,547
GUARANTEED RATE AFFINITY, LLC 7 6.48% $13,947
EMM LOANS LLC 7 5.91% $18,100
Keystone Funding, Inc. 7 6.25% $12,847
NATIONS DIRECT MORTGAGE, LLC 7 6.41% $12,910
Citizens Bank 7 6.41% $13,014
LOANPAL, LLC 6 6.00% $17,028
PRIMELENDING, A PLAINSCAPITAL COMPANY 6 6.44% $14,734
ENVOY MORTGAGE, LTD 6 6.48% $17,098
ZILLOW HOME LOANS, LLC 5 6.45% $13,003
EMBRACE HOME LOANS, INC. 5 6.73% $13,701
Flagstar Bank, FSB 5 6.42% $15,446
LEADERONE FINANCIAL CORPORATION 5 6.28% $14,830
MILEND, INC. 5 6.33% $18,988
NEW FED MORTGAGE, CORP. 5 6.35% $15,762
NORWICH COMMERCIAL GROUP, INC. 5 6.13% $12,072
UNION HOME MORTGAGE CORP. 4 5.87% $19,825
PROVINCE MORTGAGE ASSOCIATES, INC. 4 7.13% $14,664
PRIMARY RESIDENTIAL MORTGAGE, INC. 4 6.66% $20,913
CARDINAL FINANCIAL 4 6.97% $17,426
Fall River Five Cents Savings Bank 4 6.50% $12,713
M&T Bank 4 6.50% $11,866
The Washington Trust Company, of Westerly 4 5.88% $13,203
HUNT MORTGAGE CORPORATION 4 6.78% $12,635
AMERICAN FINANCING CORPORATION 3 5.58% $15,757
FIRST HOME MORTGAGE CORPORATION 3 6.71% $15,836
Ross Mortgage Company, Inc. 3 7.25% $13,377
RELIANCE FIRST CAPITAL, LLC 3 6.58% $18,856
AMERISAVE MORTGAGE CORPORATION 3 6.50% $16,848
AMERICAN FINANCIAL RESOURCES, INC. 3 6.88% $14,827
HOMESTEAD FUNDING CORP. 2 6.69% $8,833
LAND HOME FINANCIAL SERVICES, INC. 2 7.00% $22,103
HOMESPIRE MORTGAGE CORPORATION 2 5.94% $20,437
ALLIED MORTGAGE GROUP, INC. 2 5.75% $16,681
HOMESIDE FINANCIAL, LLC 2 6.13% $21,219
Magnolia Bank 2 6.25% $18,361
Mortgage Research Center, LLC 2 6.69% $17,493
FIRST COMMUNITY MORTGAGE, INC. 2 7.06% $23,525
Equity Prime Mortgage LLC 2 7.88% $18,111
Easthampton Savings Bank 2 6.06% $12,560
NATIONS RELIABLE LENDING, LLC 2 6.63% $22,934
Waterstone Mortgage Corporation 2 6.63% $16,234
CIBM Bank 2 7.13% $11,309
Academy Bank 2 6.38% $12,057
CALCON MUTUAL MORTGAGE LLC 2 7.19% $17,176
Rockland Trust Company 2 7.25% $11,240
American Mortgage & Equity Consultants, Inc. 2 6.25% $18,145
Sierra Pacific Mortgage Company, Inc. 2 6.19% $17,267
Texana Bank 2 5.75% $16,782
The Federal Savings Bank 2 6.50% $14,097
TOP FLITE FINANCIAL, INC. 2 6.44% $16,357
CONTOUR MORTGAGE CORPORATION 1 5.75% $15,779
Bank of England 1 6.50% $13,967
Prosperity Home Mortgage, LLC 1 6.75% $7,427
DIRECT MORTGAGE LOANS, LLC 1 5.13% $22,798
Bangor Savings Bank 1 6.00% $7,264
Network Funding, L.P. 1 6.25% $7,575
NBKC BANK 1 6.13% $8,300
Residential Mortgage Solutions, Inc. 1 5.75% $18,668
MLD MORTGAGE INC. 1 7.25% $24,228
NATIONWIDE MORTGAGE BANKERS, INC. 1 6.75% $10,535
AMERICAN PACIFIC MORTGAGE CORPORATION 1 6.25% $22,384
Watermark Capital, Inc. 1 5.50% $8,123
INTELLILOAN, INC. 1 6.00% $4,649
Stride Bank 1 5.75% $8,824
T2 FINANCIAL LLC 1 5.50% $16,124
TD Bank 1 6.88% $10,284
JMAC LENDING, INC. 1 6.13% $17,272
JPMorgan Chase Bank 1 6.49% $12,905
Eastern Bank 1 6.49% $15,226
Home Mortgage Alliance Corp 1 6.25% $18,358
NORTHERN MORTGAGE SERVICES, LLC 1 6.75% $23,666
EQUITY RESOURCES, INC. 1 6.25% $11,142
BETTER MORTGAGE CORPORATION 1 5.63% $8,977
PHH Mortgage Corporation 1 6.63% $12,413
BAYSHORE MORTGAGE FUNDING, LLC 1 7.38% $13,353
Barrington Bank & Trust Company, N.A. 1 6.25% $14,779
PREMIER MORTGAGE RESOURCES, L.L.C. 1 7.13% $12,096

The top Worcester FHA lender as defined by loan originations is UNITED WHOLESALE MORTGAGE, LLC, with 208 FHA loans originated. Their average total fees are $15,863, which is $1,224 higher than the next largest lender, QUICKEN LOANS, LLC.

The lowest fee Worcester FHA lenders (with over 10 loans originated) are LAKEVIEW LOAN SERVICING, LLC ($10,644), Leader Bank ($11,363), PENNYMAC LOAN SERVICES, LLC ($11,594), Mr. Cooper ( Nationstar Mortgage ) ($11,807) and ARK-LA-TEX FINANCIAL SERVICES, LLC. ($11,940).

The lowest rate Worcester FHA lenders (with over 10 loans originated) are MSA MORTGAGE, LLC (6.07%), PENNYMAC LOAN SERVICES, LLC (6.07%), LOANDEPOT.COM, LLC (6.10%), Leader Bank (6.11%) and SALEM FIVE MORTGAGE COMPANY, LLC (6.19%).

Worcester FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
WORCESTER, MA-CT WINDHAM 2022 $420,680 $538,650 $651,050 $809,150
WORCESTER, MA-CT WORCESTER 2022 $420,680 $538,650 $651,050 $809,150
WORCESTER, MA-CT WINDHAM 2023 $472,030 $604,400 $730,525 $907,900
WORCESTER, MA-CT WORCESTER 2023 $472,030 $604,400 $730,525 $907,900

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).