Your dream of becoming a proud homeowner can become possible with FHA loans in San Jose. These loans are usually the best fit for the first time as well as next time home buyers. The Federal Housing Administration(FHA) offers a number of loan programs that promote home ownership. As this loan option requires a relatively small down payment, it is the perfect way to purchase your first or next dream house.
The Federal Housing Administration loans protect the lenders from financial loss and increases your chances of being accepted. It is not difficult to qualify for FHA loans in San Jose. You will need a decent credit history and a reasonable debt-to-income ratio. You will be likely approved for a home loan relative to the market prices of homes in your locality.
Many homebuyers prefer FHA loans in San Jose because of their potential advantages. Whether you have little or no credit history, FHA loan approval requirements tend to be less stringent than those for conventional loans. On one side when conventional mortgages often require down payment of 5-10% of the purchase of a home, FHA loans can be obtained for only 3.5%. They have more relaxed credit qualifications than conventional loans. Also, these loans are assumable by another buyer if you are looking to sell.
So it’s time to contact your San Jose mortgage lender to know if FHA loans are suitable for you or not.