New FHA Loans: What You Need to Know. Are you looking for a new home in Kansas but don’t have a big down payment saved up? Currently, FHA loan programs are a great way to help buyers afford homes. These should go a long way in helping people obtain mortgages.
The two best features of FHA loans are: 1) Minimum down payment is 3-1/2% (not including closing costs). And 2) gifts are permitted for the entire 3-1/2% borrower investment and don’t need to be “seasoned.”
- NO MINIMUM FICO REQUIREMENT (this is huge)
- Must be full documentation loan. No stated income loans.
- No income limits.
- The seller can contribute to closing costs, although the seller does not have to pay the closing costs.
- There can be non-occupant co-signers on the loan.
- You do not have to be a first-time buyer.
- The down payment can be a gift from family members, employers and non-profit organizations.
- Down payment assistance programs are permitted, such as city first-time buyer housing programs.