FHA Florida credit score requirements

FHA Florida credit score requirements


A strong FHA is critical to the recovery of the housing market and our economy at large. FHA continuing to support the nation’s housing market recovery.

Mortgage World Home Loans of New Jersey is a licensed residential mortgage broker and will match you with the lender that will approve your FHA loan down to a 500 credit score.

After the financial crisis of 2008 qualifying for a mortgage became a lot harder. If not for FHA many borrowers would not qualify for a mortgage. What makes FHA different than a conventional loan is the FHA will approve you and give a better interest rate with a lower down payment even if you have a low credit score.

After 2008 all the major banks raised their standards for approving FHA loans. Because the banks make the rules for loans they will approve, they may require a minimum credit score of 640 for their loans. These guidelines are the bank's guidelines. What this means is, all the major banks including Wells Fargo, Bank of America, Chase, Citigroup, etc. banks make the rules for loans they will approve.

When you compare FHA vs. conventional loans FHA loans win the down payment race hands down. FHA loans only require a minimum down payment of 3.5 percent of the purchase price versus a conventional loan requiring between 5% to 20% down payment with a minimum credit score of 620.

New program - FHA Back to Work Program

Borrowers with a prior bankruptcy, foreclosure, deed-in-lieu, or short sale may be eligible for an FHA insured loan if the bankruptcy, foreclosure, deed-in-lieu, short sale was the result of a documented extenuating circumstance.

New borrowers may also be eligible for an FHA insured loan on a purchase transaction after 12 months from the completion, discharge, trustee's sale if the borrower meets the requirements for extenuating circumstances Economic Event.

New FHA collection account guidelines

FHA does not require collection accounts to be paid off as a condition of mortgage approval. However, FHA does recognize that collection efforts by the creditor for unpaid collections could affect the borrower’s ability to repay the mortgage.

  • If evidence of a payment arrangement is not available, the lender must calculate the monthly payment using 5% of the outstanding balance of each collection, and include the monthly payment in the borrower’s debt-to-income ratio.

Bankruptcy, Foreclosure and Short Sale

At least two years must have elapsed since the discharge date of the borrower and / or spouse's Chapter 7 Bankruptcy, according to FHA guidelines.

Foreclosure must have been resolved for at least 3 years with no late payments since the date of resolution.

FHA guidelines lets you qualify for a loan after three years from a short sale. FHA guidelines requires three year past from the date of sale of the property. If at the time of short sale your mortgage payments were not late for the previous 12 months there is no waiting period.

Call 888.958.5382 or apply online.


FHA Florida credit score requirements

Apply Now!

Call us 888.958.5382


We recognize the importance to you of keeping your information secure and confidential. We will not sell or share your personal information.


We look forward to working with you.

What's the minimum credit score needed to buy a house


Apply Now

Call 888.958.5382

E-mail Us


FHA loans

FHA requires a minimum 500 credit score to buy a house

500 credit score


VA loans

VA requires a minimum 500 credit score to buy a house or refinance

500 credit score


Fannie Mae

Fannie Mae requires a minimum 620 credit score to buy a house 

620 credit score


USDA loans

USDA requires a minimum 580 credit score to buy a house or refinance

580 credit score


HOMEPATH

HOMEPATH requires a minimum 620 credit score to buy a house

620 credit score


Freddie Mac

Freddie Mac requires a minimum 620 credit score to buy a house or refinance

620 credit score


Call Now, Our Staff is Available!

888.958.5382


Apply Now!