FHA Guidelines

Before buying or refinancing, consider the new FHA guidelines as there are many significant changes for many of the FHA loan programs. FHA guidelines have been much more aggressive over the years than conventional home loans. FHA mortgage guidelines enable more flexibility and borrowers with bad credit may be eligible to refinance or buy a new home. FHA guidelines mandate that no pre-payment penalties are ever allowed, so FHA borrowers can refinance their mortgage or sell their home at any time without fear of being charged penalties like subprime home loans. FHA lending guidelines will likely see many revisions over the next few years in an effort to minimize FHA loan defaults and to increase FHA reserves.

Flexible FHA Guidelines Promote Homeownership

FHA mortgage rates are low and FHA guidelines enable 1st time homebuyers to buy a home with only 3.5 to put down as a deposit. FHA guidelines also enable cash out refinancing, so borrowers can consolidate debt or finance home repairs. FHA requirements have increased significantly in 2010 for FHA lenders and borrowers. HUD announced the new FHA loan limits for consumers in all 50 states. FHA loan guidelines were recently updated and the maximum loan amounts allowed for refinancing and home buying greatly varies based on state and county so check with your loan officer.

FHA Rates Low but FHA Guidelines Changing in 2010
FHA Loan Programs and FHA Guidelines Revised
FHA Loan Changes for 2010
FHA Loan Guidelines Changing
2011 FHA loan guidelines and New Credit Requirements