FHA Guidelines: 5 Myths About FHA Loans
An FHA mortgage is an excellent tool which can be used to allow many first time home buyers with no credit or past credit problems to break into the housing market. Due to the mortgage crisis going on now, prices on homes for sale are lower and seller concessions are higher than they have been in years. Unfortunately, most of the 100% financing conventional and subprime loan programs which were available to potential homeowners are gone now. FHA is the only mortgage program available for many prospective buyers to use to buy a home. Hundreds of thousands of homeowners who bought homes financed with subprime mortgages over the past few years now face huge interest rate adjustments of up to 5 percent or more. Spend 5 minutes watching a business news channel these days and it is easy to understand why these people believe they have no other mortgage options left.