FHA Loans in Indiana

A beautiful new home in Indiana may be within your reach, even if you have concerns about your credit score or cannot afford to put 20% down.

An FHA mortgage unlocks the door to homeownership for first-time and returning homebuyers with a range of financial situations.

What is an FHA Mortgage?

The FHA loan program is one through which the Federal Housing Administration (FHA) backs your mortgage.

This insurance is an assumption of risk by the government, and potentially compensates investors who purchase FHA loans with lower credit scores and higher Debt-to-Income Ratios (DTIS).

Lenders that might otherwise turn you away or charge you higher interest may be able to approve you for competitive rates with a low down payment. That means you can move into your new home right away.

Enjoy These Benefits of FHA
Mortgages in Merrillville and Beyond

When you apply for an FHA loan, you can:

• Qualify even if your credit score is not perfect.
• Make a low down payment.
• Pay affordable interest rates.
• Choose a fixed or adjustable mortgage rate.
• Pick a loan term that fits your goals.
• Close with capped closing costs or no closing costs.

Do You Qualify for an Indiana FHA
Loan?

To qualify for an FHA mortgage, you will need to meet these requirements:

• You will need a minimum credit score of 620. With a higher credit score, you can qualify for a lower down payment.
• You must have a debt-to-income (DTI) ratio less than 50%.
• Two years of steady employment are necessary to qualify for an FHA mortgage. You must verify that employment history with documentation.
• A clear Credit Alert Verification Reporting System (CAIVRS) record is another requirement.
• If you have been foreclosed on, you must wait three years before you qualify for an FHA mortgage.
• If you have declared bankruptcy, you must wait 12-24 months before you can successfully obtain an FHA home loan.

The nature of the home you are shopping for will also determine whether you can use an FHA mortgage to buy it.

Single-family homes, 2-4 unit multifamily homes, and HUD-approved condos may all be purchased using an FHA mortgage, so long as they are on a permanent foundation.

You may not use an FHA loan to buy a home that was completed before June 15th, 1976.

Apply for an FHA Mortgage in
Indiana Now

Are you ready to buy a home with a low down payment, affordable rates, and easy qualification? To get started now, please call at (219) 756-5626 to schedule your FHA loan consultation.