Oregon FHA Loan Rates, Closing Costs & Stats

Oregon

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.

Oregon FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Oregon averaged 6.33% for the week of 2023-09-22, compared to the national average (all FHA variants) of 7.036% for the same period.

Oregon's average FHA mortgage closing costs are $10,059.

The average rate for the prior week (2023-09-15) was 6.58% and one month ago for the week of 2023-08-18, the average rate was 6.49%.

The average rate one year ago was 5.28%.

For refis of the same type during the week of 2023-09-22, the average rate was 5.59%.

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

Oregon 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 Oregon level.

Name # of Loans 2022 Avg. 30yFix Rate 2022 Avg. Closing Costs
CALIBER HOME LOANS, INC. 523 4.54% $12,936
GUILD MORTGAGE COMPANY 515 4.81% $14,986
UNITED WHOLESALE MORTGAGE, LLC 459 4.75% $13,688
QUICKEN LOANS, LLC 449 4.36% $13,997
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 337 5.01% $13,995
LOANDEPOT.COM, LLC 248 4.65% $14,007
SUMMIT FUNDING, INC. 216 5.27% $15,071
ACADEMY MORTGAGE CORPORATION 209 5.06% $13,852
CROSSCOUNTRY MORTGAGE, LLC 177 5.14% $15,309
CMG MORTGAGE, INC. 158 4.83% $12,238
FINANCE OF AMERICA MORTGAGE LLC 155 4.80% $14,222
AMERICAN PACIFIC MORTGAGE CORPORATION 151 4.83% $13,944
DIRECTORS MORTGAGE, INC. 147 5.14% $15,968
MORTGAGE EXPRESS, LLC 128 4.83% $13,057
NATIONS DIRECT MORTGAGE, LLC 127 4.34% $13,779
PACIFIC RESIDENTIAL MORTGAGE, LLC 125 4.97% $14,745
HOME POINT FINANCIAL CORPORATION 123 4.13% $12,827
PENNYMAC LOAN SERVICES, LLC 120 4.21% $12,819
MANN FINANCIAL INC. 108 4.90% $13,503
EVERGREEN MONEYSOURCE MORTGAGE COMPANY 108 5.35% $14,337
Nations Lending Corporation 108 4.93% $13,049
HOMEBRIDGE FINANCIAL SERVICES, INC. 102 4.60% $12,828
Willamette Valley Bank 98 4.77% $14,355
Flagstar Bank, FSB 97 4.35% $12,199
FREEDOM MORTGAGE CORPORATION 96 4.51% $12,415
CHURCHILL MORTGAGE CORPORATION 92 5.01% $13,858
S1L, Inc. 89 4.99% $14,501
LAKEVIEW LOAN SERVICING, LLC 88 3.76% $8,172
Umpqua Bank 87 4.60% $12,383
MOVEMENT MORTGAGE, LLC 87 5.20% $13,335
CARDINAL FINANCIAL 84 4.65% $13,957
BROKER SOLUTIONS, INC. 81 4.99% $14,026
AMERISAVE MORTGAGE CORPORATION 76 4.60% $14,316
Sierra Pacific Mortgage Company, Inc. 72 4.29% $13,049
Mr. Cooper ( Nationstar Mortgage ) 71 4.31% $14,874
Carrington Mortgage Services, LLC 66 5.15% $15,371
LPMC, LLC 59 4.49% $11,525
Hometown Lenders, Inc. 57 5.15% $15,094
OnPoint Community Credit Union 57 5.00% $12,135
DHI MORTGAGE COMPANY, LTD. 49 4.06% $11,190
GENEVA FINANCIAL, LLC 49 4.65% $14,953
Paramount Residential Mortgage Group, Inc. 45 4.93% $14,807
PLAZA HOME MORTGAGE, INC. 44 4.52% $16,340
PREMIER MORTGAGE RESOURCES, L.L.C. 43 4.90% $14,986
NEWREZ LLC 40 5.02% $11,937
Commerce Home Mortgage, Inc. 35 4.54% $14,104
CANOPY MORTGAGE, LLC 35 5.21% $15,772
Golden Empire Mortgage, Inc. 33 5.11% $15,057
U.S. Bank 32 4.38% $11,947
AMERICAN FINANCING CORPORATION 32 4.46% $12,219
GUARANTEED RATE, INC. 32 4.95% $13,299
Century Mortgage Company DBA Century Lending Company 30 4.99% $13,292
Banner Bank 29 4.28% $9,681
HomeStreet Bank 28 4.05% $13,309
PANORAMA MORTGAGE GROUP, LLC 27 5.09% $16,956
OCMBC, INC. 23 5.78% $16,923
EAGLE HOME MORTGAGE, LLC 22 5.09% $14,278
BAY EQUITY LLC 22 5.12% $12,981
LOANPAL, LLC 21 4.03% $18,434
AMERICAN FINANCIAL RESOURCES, INC. 21 4.52% $14,170
Loan Simple, Inc. 21 5.17% $14,829
LEADERONE FINANCIAL CORPORATION 21 5.02% $13,149
PLANET HOME LENDING, LLC 21 3.95% $11,338
Equity Prime Mortgage LLC 21 5.49% $14,250
FIRST COLONY MORTGAGE CORPORATION 21 5.28% $11,529
MORTGAGE SOLUTIONS OF COLORADO, LLC 20 4.99% $15,503
PRIMELENDING, A PLAINSCAPITAL COMPANY 20 5.03% $13,502
SUMMIT MORTGAGE CORPORATION 20 4.87% $14,129
MUTUAL OF OMAHA MORTGAGE, INC. 20 4.54% $15,538
RANLIFE, INC. 18 4.35% $12,689
Bank of England 18 5.08% $15,539
EVERETT FINANCIAL, INC. 18 5.14% $9,344
KeyBank 18 4.66% $12,543
CHERRY CREEK MORTGAGE, LLC 18 3.97% $9,609
JPMorgan Chase Bank 17 5.07% $9,553
MID AMERICA MORTGAGE, INC. 17 5.04% $5,795
MOUNTAIN WEST FINANCIAL, INC. 17 4.93% $15,063
The Federal Savings Bank 16 4.52% $18,439
MASON MCDUFFIE MORTGAGE CORPORATION 15 5.46% $12,153
GoPrime Mortgage, Inc. 15 5.33% $13,825
TruHome Solutions, LLC 14 3.83% $10,988
Gateway First Bank 14 5.14% $10,356
Lend Smart Mortgage, LLC 14 5.02% $16,756
Citizens Bank 13 4.32% $13,411
Mortgage Research Center, LLC 13 5.66% $10,558
VILLAGE CAPITAL MORTGAGE 13 3.59% $8,621
VERITAS FUNDING, LLC 12 4.27% $16,848
SUN WEST MORTGAGE COMPANY, INC. 12 3.99% $11,316
Barrington Bank & Trust Company, N.A. 11 4.12% $14,957
PRIORITY HOME LENDING, LLC 11 4.61% $14,947
AXIA FINANCIAL, LLC 11 4.84% $14,461
PREMIER LENDING, INC. 10 4.44% $14,736
Wells Fargo Bank 10 4.61% $8,439
ROUNDPOINT MORTGAGE SERVICING CORPORATION 10 4.75% $12,164
South Pacific Financial Corporation 10 4.86% $15,484
First Guaranty Mortgage Corporation 9 3.58% $9,486
HOME MORTGAGE ALLIANCE, LLC 9 5.35% $12,231
NETWORK CAPITAL FUNDING CORPORATION 9 4.75% $14,711
NFM, INC. 9 5.25% $13,671
AMERICAN NEIGHBORHOOD MORTGAGE ACCEPTANCE COMPANY LLC 9 4.56% $15,792
HOMESIDE FINANCIAL, LLC 8 3.89% $12,587
MORIA DEVELOPMENT, INC. 8 4.63% $14,555
V.I.P. MORTGAGE, INC. 8 5.25% $13,832
Cornerstone First Mortgage, Inc 8 4.64% $16,093
PRIMARY RESIDENTIAL MORTGAGE, INC. 8 4.78% $16,307
SOUTHWEST FUNDING, LP 7 5.43% $15,217
AMCAP MORTGAGE, LTD. 7 4.66% $14,747
SECURITYNATIONAL MORTGAGE COMPANY 7 5.48% $19,651
ARK-LA-TEX FINANCIAL SERVICES, LLC. 7 5.36% $14,520
SWBC MORTGAGE CORPORATION 7 5.05% $15,213
STEARNS LENDING, LLC 7 2.68% $11,913
LADERA LENDING, INC. 6 4.79% $14,298
BECKAM FUNDING CORP. 6 4.19% $18,022
Lakeview Community Capital, LLC 5 5.00% $12,845
Texana Bank 5 3.63% $14,111
KELLER MORTGAGE, LLC 5 4.68% $10,503
First Home Bank 5 5.05% $14,155
Bank of America 5 4.85% $9,046
ENVOY MORTGAGE, LTD 5 4.98% $12,150
iCore Lending, Inc. 5 6.18% $23,003
JLB CORPORATION 4 3.97% $13,796
Summit Mortgage Corporation 4 5.28% $17,919
LAND HOME FINANCIAL SERVICES, INC. 4 4.37% $13,209
Amerifirst Financial, Inc. 4 5.84% $15,434
Hometown Equity Mortgage, LLC 4 4.03% $12,841
BETTER MORTGAGE CORPORATION 4 3.19% $11,787
FIRST CENTENNIAL MORTGAGE CORPORATION 4 4.69% $10,802
Peoples Bank 4 5.38% $16,370
First Internet Bank of Indiana 4 3.90% $12,968
RELIANCE FIRST CAPITAL, LLC 4 4.31% $17,027
1st Security Bank of Washington 4 4.25% $13,584
SOVEREIGN LENDING GROUP INCORPORATED 4 4.00% $10,933
ZILLOW HOME LOANS, LLC 3 4.42% $14,360
AMERIFIRST FINANCIAL CORPORATION 3 4.38% $14,483
AmeriHome Mortgage Company, LLC 3 4.79% $13,082
Bank of the Pacific 3 4.04% $9,611
BKCO MORTGAGE, LLC 3 5.54% $8,361
Evolve Bank & Trust 3 4.92% $11,288
GSF Mortgage Corporation 3 5.21% $19,292
IDAHO CENTRAL 3 4.67% $13,297
INTERCAP LENDING INC. 3 4.71% $12,543
M&T Bank 3 2.79% $12,183
MYCUMORTGAGE, LLC 3 5.25% $7,648
NOVA FINANCIAL & INVESTMENT CORPORATION 3 3.54% $8,088
ON Q FINANCIAL, INC. 3 5.00% $10,724
PREMIA MORTGAGE, LLC 3 4.92% $10,286
SOUTHWEST STAGE FUNDING, LLC 3 4.46% $10,153
Strong Home Mortgage, LLC 3 4.00% $7,664
UNITED MORTGAGE CORP 3 5.25% $18,108
Plains Commerce Bank 2 6.75% $13,669
RESIDENTIAL BANCORP 2 5.00% $21,333
Goldwater Bank, N.A. 2 4.31% $13,380
EMM LOANS LLC 2 4.50% $11,974
VANDERBILT MORTGAGE AND FINANCE, INC. 2 3.81% $17,297
Sunflower Bank 2 5.56% $13,351
BAYSHORE MORTGAGE FUNDING, LLC 2 3.25% $17,360
Franklin Loan Corporation 2 6.00% $14,794
Ixonia Bank 2 6.31% $15,425
Chickasaw Community Bank 2 4.75% $10,095
DRAPER AND KRAMER MORTGAGE CORP. 2 4.69% $12,546
HOMEAMERICAN MORTGAGE CORPORATION 2 4.63% $10,871
Wyndham Capital Mortgage, Inc. 2 4.19% $15,123
Washington Trust Bank 2 5.69% $11,426
Magnolia Bank 1 5.75% $18,857
AmRes Corporation 1 3.63% $9,885
LOANLEADERS OF AMERICA, INC. 1 3.13% $9,809
LENOX FINANCIAL MORTGAGE CORPORATION 1 4.50% $12,862
Leader Bank 1 4.75% $11,870
INLAND BANK & TRUST 1 5.00% $15,645
HOMEOWNERS FINANCIAL GROUP USA, LLC 1 3.13% $10,127
HIGHLANDS RESIDENTIAL MORTGAGE, LTD. 1 3.75% $17,191
SECURITY HOME MORTGAGE, LLC. 1 4.25% $13,330
First Savings Bank 1 4.75% $11,370
Semper Home Loans, Inc. 1 3.75% $16,497
First Mortgage Solutions, LLC 1 3.13% $10,501
FAY SERVICING, LLC 1 6.75% $15,593
Ameris Bank 1 4.50% $12,880
EMBRACE HOME LOANS, INC. 1 5.99% $17,779
Stifel Bank and Trust 1 4.13% $15,290
SUCCESS MORTGAGE PARTNERS, INC. 1 6.13% $17,111
DIAMOND RESIDENTIAL MORTGAGE CORPORATION 1 5.38% $11,629
DAS Acquisition Company, LLC 1 6.63% $20,074
CRESCENT MORTGAGE COMPANY 1 3.00% $14,617
CORNERSTONE HOME LENDING, INC. 1 5.63% $18,344
CONTOUR MORTGAGE CORPORATION 1 3.38% $14,934
CASTLE & COOKE MORTGAGE, LLC 1 5.63% $12,917
THE MORTGAGE COMPANY 1 3.38% $14,426
CALCON MUTUAL MORTGAGE LLC 1 7.63% $12,132
BNC National Bank 1 4.50% $16,224
Academy Bank 1 3.50% $10,225
BEST FINANCE CAPITAL, INC. 1 4.75% $23,629
BEST CAPITAL FUNDING 1 5.13% $16,241
OCEANSIDE MORTGAGE COMPANY 1 5.25% $9,462
ARC HOME LLC 1 2.63% $11,679
NEXERA HOLDING LLC 1 4.63% $5,118
NexBank 1 4.75% $11,122
NMSI, INC. 1 5.00% $14,055
North American Savings Bank, F.S.B. 1 4.63% $2,500
Northpointe Bank 1 6.25% $18,533
BELEM SERVICING LLC 1 4.38% $13,942
NEW DAY FINANCIAL, LLC 1 5.75% $10,620
Network Funding, L.P. 1 5.63% $12,496
Watermark Capital, Inc. 1 6.25% $9,696
OPEN MORTGAGE, LLC 1 6.75% $19,670
NBKC BANK 1 4.75% $10,822
NBH Bank 1 5.50% $4,475
Paramount Bank 1 3.75% $14,006
MUFG Union Bank 1 2.75% $12,599
MLD MORTGAGE INC. 1 5.75% $11,022
PENTAGON FEDERAL CREDIT UNION 1 5.00% $8,854
MICHIGAN MUTUAL, INC. 1 5.63% $23,108
PHH Mortgage Corporation 1 3.50% $9,508
MEMBER FIRST MORTGAGE, LLC 1 5.00% $9,966

The top Oregon FHA lender as defined by loan originations is CALIBER HOME LOANS, INC., with 523 FHA loans originated. Their average total fees are $12,936, which is $2,050 lower than the next largest lender, GUILD MORTGAGE COMPANY.

The lowest fee Oregon FHA lenders (with over 10 loans originated) are MID AMERICA MORTGAGE, INC. ($5,795), LAKEVIEW LOAN SERVICING, LLC ($8,172), Wells Fargo Bank ($8,439), VILLAGE CAPITAL MORTGAGE ($8,621) and EVERETT FINANCIAL, INC. ($9,344).

The lowest rate Oregon FHA lenders (with over 10 loans originated) are VILLAGE CAPITAL MORTGAGE (3.59%), LAKEVIEW LOAN SERVICING, LLC (3.76%), TruHome Solutions, LLC (3.83%), PLANET HOME LENDING, LLC (3.95%) and CHERRY CREEK MORTGAGE, LLC (3.97%).

Oregon FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
NON-METRO BAKER 2022 $420,680 $538,650 $651,050 $809,150
CORVALLIS, OR BENTON 2022 $483,000 $618,300 $747,400 $928,850
PORTLAND-VANCOUVER-HILLSBORO, OR-WA CLACKAMAS 2022 $598,000 $765,550 $925,350 $1,150,000
ASTORIA, OR CLATSOP 2022 $437,000 $559,450 $676,200 $840,400
PORTLAND-VANCOUVER-HILLSBORO, OR-WA COLUMBIA 2022 $598,000 $765,550 $925,350 $1,150,000
COOS BAY, OR COOS 2022 $420,680 $538,650 $651,050 $809,150
PRINEVILLE, OR CROOK 2022 $420,680 $538,650 $651,050 $809,150
BROOKINGS, OR CURRY 2022 $420,680 $538,650 $651,050 $809,150
BEND, OR DESCHUTES 2022 $569,250 $728,750 $880,900 $1,094,700
ROSEBURG, OR DOUGLAS 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO GILLIAM 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO GRANT 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO HARNEY 2022 $420,680 $538,650 $651,050 $809,150
HOOD RIVER, OR HOOD RIVER 2022 $599,150 $767,000 $927,150 $1,152,250
MEDFORD, OR JACKSON 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO JEFFERSON 2022 $420,680 $538,650 $651,050 $809,150
GRANTS PASS, OR JOSEPHINE 2022 $420,680 $538,650 $651,050 $809,150
KLAMATH FALLS, OR KLAMATH 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO LAKE 2022 $420,680 $538,650 $651,050 $809,150
EUGENE-SPRINGFIELD, OR LANE 2022 $420,680 $538,650 $651,050 $809,150
NEWPORT, OR LINCOLN 2022 $420,680 $538,650 $651,050 $809,150
ALBANY-LEBANON, OR LINN 2022 $420,680 $538,650 $651,050 $809,150
ONTARIO, OR-ID MALHEUR 2022 $420,680 $538,650 $651,050 $809,150
SALEM, OR MARION 2022 $420,680 $538,650 $651,050 $809,150
HERMISTON-PENDLETON, OR MORROW 2022 $420,680 $538,650 $651,050 $809,150
PORTLAND-VANCOUVER-HILLSBORO, OR-WA MULTNOMAH 2022 $598,000 $765,550 $925,350 $1,150,000
SALEM, OR POLK 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO SHERMAN 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO TILLAMOOK 2022 $420,680 $538,650 $651,050 $809,150
HERMISTON-PENDLETON, OR UMATILLA 2022 $420,680 $538,650 $651,050 $809,150
LA GRANDE, OR UNION 2022 $420,680 $538,650 $651,050 $809,150
NON-METRO WALLOWA 2022 $420,680 $538,650 $651,050 $809,150
THE DALLES, OR WASCO 2022 $420,680 $538,650 $651,050 $809,150
PORTLAND-VANCOUVER-HILLSBORO, OR-WA WASHINGTON 2022 $598,000 $765,550 $925,350 $1,150,000
NON-METRO WHEELER 2022 $420,680 $538,650 $651,050 $809,150
PORTLAND-VANCOUVER-HILLSBORO, OR-WA YAMHILL 2022 $598,000 $765,550 $925,350 $1,150,000
NON-METRO BAKER 2023 $472,030 $604,400 $730,525 $907,900
CORVALLIS, OR BENTON 2023 $560,050 $716,950 $866,650 $1,077,050
PORTLAND-VANCOUVER-HILLSBORO, OR-WA CLACKAMAS 2023 $672,750 $861,250 $1,041,050 $1,293,750
ASTORIA, OR CLATSOP 2023 $529,000 $677,200 $818,600 $1,017,300
PORTLAND-VANCOUVER-HILLSBORO, OR-WA COLUMBIA 2023 $672,750 $861,250 $1,041,050 $1,293,750
COOS BAY, OR COOS 2023 $472,030 $604,400 $730,525 $907,900
PRINEVILLE, OR CROOK 2023 $472,030 $604,400 $730,525 $907,900
BROOKINGS, OR CURRY 2023 $472,030 $604,400 $730,525 $907,900
BEND, OR DESCHUTES 2023 $690,000 $883,300 $1,067,750 $1,326,950
ROSEBURG, OR DOUGLAS 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO GILLIAM 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO GRANT 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO HARNEY 2023 $472,030 $604,400 $730,525 $907,900
HOOD RIVER, OR HOOD RIVER 2023 $671,600 $859,750 $1,039,250 $1,291,550
MEDFORD, OR JACKSON 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO JEFFERSON 2023 $472,030 $604,400 $730,525 $907,900
GRANTS PASS, OR JOSEPHINE 2023 $472,030 $604,400 $730,525 $907,900
KLAMATH FALLS, OR KLAMATH 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO LAKE 2023 $472,030 $604,400 $730,525 $907,900
EUGENE-SPRINGFIELD, OR LANE 2023 $481,850 $616,850 $745,650 $926,650
NEWPORT, OR LINCOLN 2023 $472,030 $604,400 $730,525 $907,900
ALBANY-LEBANON, OR LINN 2023 $472,030 $604,400 $730,525 $907,900
ONTARIO, OR-ID MALHEUR 2023 $472,030 $604,400 $730,525 $907,900
SALEM, OR MARION 2023 $483,000 $618,300 $747,400 $928,850
HERMISTON-PENDLETON, OR MORROW 2023 $472,030 $604,400 $730,525 $907,900
PORTLAND-VANCOUVER-HILLSBORO, OR-WA MULTNOMAH 2023 $672,750 $861,250 $1,041,050 $1,293,750
SALEM, OR POLK 2023 $483,000 $618,300 $747,400 $928,850
NON-METRO SHERMAN 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO TILLAMOOK 2023 $472,030 $604,400 $730,525 $907,900
HERMISTON-PENDLETON, OR UMATILLA 2023 $472,030 $604,400 $730,525 $907,900
LA GRANDE, OR UNION 2023 $472,030 $604,400 $730,525 $907,900
NON-METRO WALLOWA 2023 $472,030 $604,400 $730,525 $907,900
THE DALLES, OR WASCO 2023 $472,030 $604,400 $730,525 $907,900
PORTLAND-VANCOUVER-HILLSBORO, OR-WA WASHINGTON 2023 $672,750 $861,250 $1,041,050 $1,293,750
NON-METRO WHEELER 2023 $472,030 $604,400 $730,525 $907,900
PORTLAND-VANCOUVER-HILLSBORO, OR-WA YAMHILL 2023 $672,750 $861,250 $1,041,050 $1,293,750

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).