FHA Home Loans

 FHA loans are insured by the Federal Housing Administration, and with the government guarantee, lenders are more willing to lend with more lenient qualifying guidelines. FHA loans are specifically designed to help borrowers get into homes.

First-time buyers can often benefit from the more lax guidelines of an FHA loan, including a lower down payment. Typical down payments can range between 10 and 20 percent*, but with an FHA loan the down payment can be as low as 3.5%*. This lower down payment can even be provided to you by a family member as a gift fund.

With more lenient qualifying guidelines, FHA loans make homeownership more accessible to more people. Credit scores to 640, lower debt ratios, and seller contributions are all allowed with an FHA loan. A few ups and downs in your credit history may be okay with the FHA.

FHA Benefits

  • Ideal for first-time buyers

  • Lower down payments and gift funds allowed

  • More flexible qualifying guidelines

  • Available for purchase or refinance, fixed or adjustable-rate

 First-time buyers are not the only ones who can benefit from a government-guaranteed loan. You can refinance with an FHA loan, even if you don’t currently have an FHA loan. FHA loans come with a few requirements. Because the program intends to help buyers get into a home, you must live in it as your primary residence. (Don’t worry investors, we have plenty of other loan programs that are perfect for you.) Flip properties are allowed, however, as long as it is owner-occupied.

Some FHA programs will require you to have the home appraised by an FHA- approved appraiser, and for you to pay mortgage insurance premiums. Plan on paying Up Front Mortgage Insurance (UFMI) and a Monthly Mortgage Insurance Premium, unless you qualify for the FHA streamlined* finance program. Our Solano Mortgage expert loan advisors can tell you what you qualify for and what to expect for your total payments, including mortgage insurance.

*Qualifying factors may apply.

*Annual Percentage Rates shown as of March 1st, 2021, subject to change without notice.

For specific loan scenario questions please reach out to your American Pacific Mortgage loan advisor.

APR = Annual Percentage Rate.

  • 30 Year Fixed: Loan amount $300,000 at 3.10 APR, 20% down, monthly payment without taxes and insurance is $1,1281

  • 15 Year Fixed: Loan amount $300,000 at 2.53% APR, 20% down, monthly payment without taxes and insurance is $2,004.61

  • FHA 30 Year Fixed: Loan amount $300,000 at 2.810% APR, 3.5% down, monthly payment without taxes and insurance is $1,234.28. FHA monthly MI is $211.00

  • VA 30 Year Fixed: Loan amount $300,000 at 2.810% APR, 0% down, monthly payment without taxes and insurance is $1,234.28

  • USDA 30 Year Fixed: Loan amount $300,000 at 2.88% APR, 0% down, monthly payment without taxes and insurance is $1,245.48

  • Jumbo 30 Year Fixed: Loan amount $500,000 at 3.09% APR, 20% down, monthly payment without taxes and insurance is $2,132.37

  • 5/1 ARM: Loan amount $300,000 at 2.810% APR, 20% down, monthly payment without taxes and insurance is $1,234.28. 5/1 ARM is fixed for the first 5 years, subject to change annually thereafter

  • 7/1 ARM: Loan amount $300,000 at 2.500% APR, 20% down, monthly payment without taxes and insurance is $1,185.36. 7/1 ARM is fixed for the first 7 years, subject to change annually thereafter

  • 10/1 ARM: Loan amount $300,000 at 2.500% APR, 20% down, monthly payment without taxes and insurance is $1,185.36. 10/1 ARM is fixed for the first 10 years, subject to change annually thereafter

  • Bridge 6 Month Term Fixed: Loan amount $150,000 at 7.490% APR, 20% down, monthly payment without taxes and insurance (deferred). 1 balloon payment of $155,553.83 due on 6th month.