Pre-approval Guide (1) - Flipbook - Page 7
MO ST C OM MON L OAN
PR O G RAM S
CONV ENTIONAL
FHA
Conventional Mortgages are most common for
clients with credit scores over 700-720, but are
available for scores above 620.
FHA Mortgages o er üexible ûnancing for buyers
with lower credit scores or higher debt.
The minimum down payment is 3.50%.
The minimum down payment is 3%-5%. First-time
buyers—deûned as those who haven't had their
name on a mortgage or deed in the past 3 years—can
qualify with as little as a 3% down payment. For
others, the minimum is 5% for primary residences.
A minimum credit score of 580 is needed, but
qualifying depends on credit history.
Maximum debt-to-income ratios vary but
options are available for ratios up to 55%,
including the new mortgage.
No PMI (Private Mortgage Insurance) is required for
buyers putting down 20% or more.
Private Mortgage Insurance (PMI) is required for
11 years or the loan's life, depending on the initial
down payment.
Maximum debt-to-income ratios vary based on
qualifying factors, but ûnancing options are
available for buyers with ratios up to 45%-50%
(including the estimated new mortgage payment).
You don't need to be a ûrst-time buyer to qualify.
VA
VA mortgages are available for eligible Veterans,
Servicemembers and surviving spouses.
0% down payment options with no PMI and lower
closing costs.
580 minimum credit score to qualify.
Debt to income ratio thresholds are dependent upon
other qualifying factors.
