Suitable For

  • First-time homebuyers
  • Mobile homes meeting specific requirements
  • Buyers who cannot afford a large down payment

Not Suitable For

  • Investment properties
  • Second homes
  • Those looking for jumbo loans
Hillbury Mobile Home Park Alderholt Dorset

Eligibility Criteria

  • Minimum credit score requirement usually 580
  • Steady employment history
  • U.S. citizenship or legal resident status

Loan Types & Limits

  • Typically lower than conventional loan limits
  • Fixed-rate loans
  • Adjustable-rate loans
  • FHA 203(k) for property improvements

Down Payment

  • Down payment as low as 3.5%
  • Funds can be gifted from family members

Documentation Requirements

  • Proof of employment and income
  • Credit report
  • Tax returns
  • List of debts and asset

Property Requirements

  • Must meet minimum safety, soundness, and security standards
  • FHA appraisal required

wooden house moder keys and contract on table
Photo by Oleksandr P on Pexels.com

Mortgage Insurance

  • Upfront mortgage insurance premium required
  • Annual mortgage insurance premium also necessary
  • Insurance costs can make the loan more expensive over time

Advantages

  • Easier to qualify for than conventional loans
  • Lower down payment requirements
  • Options for those with lower credit scores

Disadvantages

  • Mortgage insurance premiums
  • Lower loan limits
  • Not all properties are eligible

Always consult with your loan officer to make sure you’re making the best decision for your specific circumstances.