Co Signors | NC FHA Expert

FHA Qualifying Requirements

Many of the folks we are talking with right now want to purchase a home using the FHA Mortgage Loan program – and then taking the $8000 Tax Credit (you can get that back NOW, like in 12 weeks, by amending THIS YEAR’s TAX RETURN!) to “pay yourself back” for the downpayment!

Here are qualifying requirements for an FHA Mortgage Loan:

You can have a Co-Signor on a FHA loan.
You need to wait at least 2 consecutive years following a bankruptcy.
Any history of foreclosure must be at least 3 years old
You must have had a stable income for at least 12 months and proof that you have paid all your bills.
You must be able to make a 3.5% down payment, which is considerably lower than conventional loans.
The Downpayment can be a GIFT!
There are also eligibility requirements for the home. Properties that are eligible for a FHA loan include: single-family homes, 2-4 unit properties, condominiums, double-wide manufactured homes and modular homes. Ineligible homes include (but are not limited to) co-ops, boarding houses, commercial properties, hotels, and private clubs. A home is also ineligible if the seller acquired the house within the past 90 days. For any property over 10 acres, the loan will be based on the price of the house and the first 10 acres only. Additionally, the property must be used as a primary place of residence.
You can count Part Time Income for a FHA Loan
You need a credit score of at least 620 to get our best priced FHA Loans… lower scores might qualify- call us for details!

If you are considering a PURCHASE of a home in Cary, NC – or refinancing a FHA Mortgage in Raleigh, NC Steve and Eleanor Thorne – Corporate Investors Mortgage Group, Inc. Cary NC, 919-649-5058 for the BEST (read cheapest!) FHA Mortgage Rates!

Can You Qualify For A Mortgage If You are Not Married??

If you found this post, you have a very specific question, and the very SHORT answer, is PROBABLY.

Exactly what type of mortgage you get, is a slightly more detailed answer!

VA LOANS: VA says that if you are going to purchase with another person they will recognize legally married spouses of qualified veterans as co-signors on VA loans. Otherwise, the other person on the mortgage loan must be another qualifying veteran. For more information on this VA guideline, please click here.

USDA: The Rural Development program of the USDA (the housing program for rural areas) uses household income to qualify. They do NOT have a guideline that says you must be legally married for the spousal income to be considered in qualifying for the mortgage. It’s an important piece of the puzzle when qualifying for a USDA home loan. Because USDA is looking at overall “household income,” you might have someone in the house who is contributing to the groceries (for instance) but not on the mortgage. For QUALIFYING purposes (meaning to see if your are OVER the area guidelines) it can put you over the limit. For NC guidelines for USDA mortgages, please click here.

Moving to a New Area?

FHA Mortgages: FHA does not have maximum income limits like USDA… and they qualify folks based upon the income of those who are going to be on the mortgage. The people on the mortgage do NOT have to be married. FHA also allows NON-Occupying co-borrower. ( This program is also referred to as “Kiddie” Condos.”) The NON-Occupying co-borrower / mom, dad, sister… needs to have adequate credit scores, reserves, income to qualify WITH the borrower. You lump all hte debts, all the income and qualify together. Remember, under FHA guidelines, Non-Occupying co-borrowers will NOT be considered a compensating factor for someone iwth poor credit (unfortunately).

If you are considering a home purchase in NC, and want information regarding Government Financing options, please call Steve and Eleanor Thorne, Corporate Investors Mortgage Group, 919-649-5058.