Established in 1934, FHA loans were developed to help United States citizens buy or refinance homes with a low down payment while being guaranteed by the Federal Housing Administration. By not placing any extra risk on the lender, FHA loans can offer low rates and flexible approval options, even for those with limited or imperfect credit histories. FHA loans have been provided by Oceanside Mortgage since our establishment, and our position as one of the top direct FHA lenders in the country means we can offer loan opportunities to those who may have limited access otherwise. These loans are designed with consumer safeguards to give borrowers an affordable loan with a lower interest rate. There are three types of FHA loans. FHA Purchase Loans allow borrowers to purchase a new home for as little as 3.5% down. Borrowers who wish to refinance their current mortgage up to 97.75% of their home’s current value or take cash out up to 85% of their home’s current value would benefit from FHA Refinance Loans. Finally, FHA Streamline Refinance Loans allow borrowers to refinance their current FHA loan into a new one without undertaking the traditional steps required for refinancing.

Qualification for an FHA loan is dependent on a few key factors. The first is credit. Fortunately, the credit requirements are very lax, requiring only a credit score of 580 to qualify. In some scenarios, a minimum credit score of 580 is not required. This way, those who have made mistakes in the past regarding their finances are not out of luck when they are ready to purchase a home. The next factor is income. While they do not have specific income requirements, the FHA loan does not allow for more than 31% of your income goes toward a mortgage payment and no more than 43% is allowed to pay total monthly debts. Loan officers will help you understand how these numbers work in your current budget. Assets are also important to take into account regarding an FHA loan, because at least 3.5% down is required on the purchase of your new home. Personal funds or a gift from a family member are both acceptable for these costs. The last factor in qualifying for an FHA loan is the type of property you’re attempting to buy, and for this, most single family homes, condos, planned urban developments, townhouses, and manufactured homes will qualify with no problems.

Because they allow for a small downpayment and limited credit history, FHA loans are a good starting point for most homebuyers. Lowering rates through refinancing every time market rates drop is another useful feature, and it doesn’t require that borrowers re-qualify. Furthermore, the mortgage servicer is required to originate and service the loan because it is insured by the FHA. This is another protection for the consumer.

Oceanside Mortgage Company has loan officers ready to assist you 24 hours per day, 7 days per week. As a Better Business Bureau accredited business with an A+ rating, you’re sure to get the help you need with Oceanside. Call us today by clicking the button below, or call us at (800) 955-8965.

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Address 55 Main St. Toms River, NJ 08753

Oceanside Mortgage Company is a private corporation. Oceanside Mortgage Company is not acting on behalf or at the direction of HUD/FHA/VA/USDA or the Federal Government. By refinancing your existing loan, your total finance charges may be higher over the life of the loan. NMLS# 80015 Visit the Nationwide Mortgage Licensing System & Registry consumer access website for licensing information: www.nmlsconsumeraccess.org Website authorization by the New York State Department of Financial Services is pending. Until this website is authorized, no mortgage loan applications for properties located in New York will be accepted through this site

Andy Tran

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