FHA is similar to assigned risk auto insurance. If you are willing to pay the costs involved they will do business with you…
FHA-FNMA etc were INTENDED to make housing affordable….Today FHA is keeping housing UNaffordable by allowing people to buy a home at an inflated price with a low down payment. It’s just a Ponzi/Madoff scheme for now.
If you want to speculate and are willing to walk away with little invested, I suppose FHA is an option, but it’s going to cost more than conventional financing.
If you are looking to buy a home to live in and aren’t speculating, with 10% down, IF you qualify, you can get a conventional loan. You can get seller credits on FHA OR FNMA. FHA is often for suckers who are buying a home they possibly can’t afford or those who don’t understand what they are doing.
With a decent credit score and 10%-20% down, I don’t think there is any reason to use FHA.
30 YR fixed rates closed yesterday at 4.75% with no points or as low as 4.375% with one point, about the lowest ever. 5YR-7YR ARMS are below 4% Qualifying is tougher than it has even been. With an additional cost the same rates are available on rental properties as well…HLS
