Home Buyer New Jersey

First Time Home Buyer New Jersey


FHA announced a set of policy changes to strengthen the FHA. The changes announced are the latest in a series of changes enacted in order to better position the FHA to manage its risk while continuing to support the nation’s housing market recovery.

The Federal Housing Administration insures FHA loans and did not used to require a minimum credit score. The new FHA policy changes requires a minimum credit score of 580 for 3.5% down payment and anyone purchasing a home with a score lower than 580 will require 10% down payment.

The FHA has taken the following step:

  • Update the combination of FICO scores and down payments for new borrowers
  • New borrowers will now be required to have a minimum FICO score of 580 to qualify for FHA's 3.5% down payment program
  • New borrowers with less than a 580 FICO score will be required to put down at least 10%
  • First time home buyer New Jersey

FHA loan refinance minimum credit of 580 for a 97.5% rate and term refinance and 85% cash out refinance.

Minimum credit score FHA loan is 500. First time home buyer New Jersey.

No Credit History

Three lines of credit are necessary to apply for an FHA loan. However, in the event a borrower does not have sufficient credit on their credit report the FHA will allow substitute forms. FHA allows minimum trade lines if you have credit scores.

Late Payments

During an underwriter analysis of borrower credit, the overall pattern of credit behavior is being reviewed rather than isolated cases of slow payments. If a good payment pattern has been maintained, regardless of a specific period of financial difficulty preceded it, the borrower may escape disqualification.

Collection, Judgments, Federal Debts

A collection is minor in nature usually does not need to be paid off as a condition for loan approval. It is stated as such in FHA guidelines. Any judgments will have to be paid in full prior to closing. Borrowers who are delinquent on any federal debt, such as tax liens, student loans, etc., are not eligible.

Chapter 7 Bankruptcy

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. This is not to be confused with the bankruptcy filing date. A full explanation will be required with the loan application. In order to qualify for an FHA loan, the borrower must qualify financially, have re-established good credit, and have a stable job.

HUD homes for sale $100 down payment.

Apply Now!

Call 201-644-0099


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.

FHA-Loan-Requirements-2013

                            

Apply Now

Call us 800-516-9166


We look forward to working with you.

Image 12

Apply Now!

Call 800.516.9166

Email Us!


Recent Articles

  1. Credit Score Requirements for FHA 2023

    Jun 06, 23 09:18 AM

    FHA-LOAN-3
    Credit Score Requirements for FHA 2023. For individuals applying for an FHA loan, it's important to note that there is a minimum FICO score requirement of 500.

    Read More

  2. Best Mortgage Rates in New Jersey.

    Jun 01, 23 09:40 AM

    best mortgage rates
    Best Mortgage Rates in New Jersey. See if you qualify for the lowest mortgage rates available!

    Read More

  3. No Income Verification Mortgage Florida. No Income Documents Required.

    May 31, 23 10:59 AM

    Home no income 2
    A no income verification mortgage, is a type of home loan that allows borrowers to secure financing without providing traditional proof of income, such as pay stubs, W-2 forms, or tax returns.

    Read More

What's the minimum score needed to buy a house or refinance

FHA loans

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

500 credit score

VA loans

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

500 credit score

USDA loans

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

580 credit score

Fannie Mae

Fannie Mae 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

620 credit score

HARP refinance

HARP requires no minimum credit score to refinance

No minimum credit score

Call Now, Our Staff is Available!

201.644.0099

Apply Now!