 First Time Home Buyer Education Center
Icon Mortgage Lending is Mid-Michigan's most experienced First Time Home Buyer Team. This page is to help pass that experience and knowledge on to you and empower you to become the most savvy buyer that you can possibly be!
First Time Home Buyer: FHA at a glance
The following was a general overview of the FHA loan program and a guide to figure out if this is the loan program for you.
Availability: Available in all areas.
Type of Homes they finance: Most property types. Single Family Properties and Multi-Family Properties will qualify. Site Condos are viewed the same as Attached Condominium Properties and are acceptable if they are approved condominium projects. You can search approved projects here: ******. Manufactured properties are acceptable if they meet individual lender requirements. Modular, Stick-Built, or BOCA-code properties are acceptable. Working Farms, unique properties, and dome-homes will not qualify.
Down Payment Required: 3.5%. Can be a gift from family, friend, or employer. Down payment assistance is only available from grant programs.
Mortgage Insurance: 1.75% financed into your loan and and .55% is billed monthly.
Interest Rates: Vary greatly because of the great variance between lenders offering FHA financing and the Yields paid to those making the loan for you. Careful shopping will be required in obtaining the best interest rates.
Maximum Loan Amount: Varies by county. Most counties in Michigan fall at $278,000 or lower.
Income Limits: No income limits apply.
Credit Requirement: Varies from lender to lender. In general, a 620 FICO and 2 credit references at least 12 months old with no late payments is required. 36 months from Bankruptcy or Foreclosure.
Reserves: Varies between lenders, but in general, 2 months of mortgage payments are required. Can come from retirement savings, checking or savings account, or as a gift.
Repair Escrow: Available on HUD-owned properties with no contingency plan.
General Overview: Available to all borrowers meeting credit standards, emphasis on credit requirements in regards to payment history within 12 months, credit discretions explainable to underwriter are acceptable, easy qualifying with acceptable credit references.
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Icon Mortgage Lending
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The Icon Mortgage Lending Team is comprised ONLY of Nationally Certified Mortgage Loan Originators approved through the NMLS Nationwide Mortgage Licensing System
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