Zillow Advice RSS: Discussion,FHA and VA Loans, http://www.zillow.com/advice/United-States%253B%253B%253B%253B%253B%253B%253B%253B/mortgage-fha-and-va-loans/discussion/ Zillow Advice search results | Zillow Real Estate APR vs Note Rate Spread - FHA LOAN http://www.zillow.com/advice-thread/APR-vs-Note-Rate-Spread-FHA-LOAN/323271/ <p>I am going to be purchasing my first home soon and am still confused about APR vs Rate.&nbsp; I've done the reading and understand why the APR is greater, however, the <a href="http://www.zillow.com/mortgage/">loan</a> I have set up is a <a href="http://www.zillow.com/fha-loan/">FHA loan</a> with a rate of 5.25%.&nbsp; I am going to put the required 3.5% down and the sale price was listed at 229k.&nbsp; Someone began asking me about the APR and I was not sure what that rate was.&nbsp; I went home and looked at the Truth in Lending form to see a whopping 5.825%!!&nbsp;&nbsp; Is this type of spread typical for a FHA loan where there is PMI associated with it?&nbsp; I am worried that I am getting fleeced on this loan and may need to do something else before I finalize with this loan.&nbsp; Its pretty much finalized at this point, they are waiting on me to submit in writing why one year of my W-2's doesnt match my current address, but besides that there is nothing left to do to make the loan official.&nbsp; There have been zero fees associated with this loan.&nbsp; I specifically asked about that up front and was told there were none and to this date have not been charged any.&nbsp; I did pay for the appraisal and a $7.50 credit application fee, besides that nothing else.&nbsp; Please Help! I am going to be closing in a couple weeks and I am getting concerned.<br/><br/>Thanks</p><br \><br \>100 replies Wed, 10 Feb 2010 12:35:00 GMT http://www.zillow.com/advice-thread/APR-vs-Note-Rate-Spread-FHA-LOAN/323271/ 2010-02-10T12:35:00Z WHat are the Minimum Credit Scores Required for FHA Loans http://www.zillow.com/advice-thread/WHat-are-the-Minimum-Credit-Scores-Required-for-FHA-Loans/444776/ Many clients want to know what is the minimum credit score they will need to qualify for FHA loans. The information out there can be confusing especially if it is out of date!<br/><div style="text-align: right;" class="answer_body">Information on FHA loan requirements that was gathered even two years ago is now out of date. Modifications to the rules for required credit score requirements have changed.To get maximum financing on typical new home purchases, applicants should have a credit score of 580 or better. Applicants with a credit score of 500 to 579 according the the FHA guidelines, are "limited to 90 percent LTV". That means you must put 10% down.&nbsp;<br/>Applicants who wish to qualify for 100% FHA loan financing with no down payment required the FHA 203(h), Mortgage Insurance for Disaster Victims home buyers will need a credit score of 500 or better.&nbsp;<br/><br/>To get specific information on different types of FHA Loans available go to:&nbsp;<br/><br/><a rel="nofollow" href="http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/fhahistory">http://portal.hud.gov/hudportal/HUD?src=/program_offices/hou&hellip;</a>&nbsp;<br/></div><br \><br \>45 replies Wed, 30 May 2012 12:35:00 GMT http://www.zillow.com/advice-thread/WHat-are-the-Minimum-Credit-Scores-Required-for-FHA-Loans/444776/ 2012-05-30T12:35:00Z Finding a Lender Using FHA's Construction-to-Permanent Loan Product http://www.zillow.com/advice-thread/Finding-a-Lender-Using-FHA%27s-Construction-to-Permanent-Loan-Product/509396/ Hi there, <br/><br/>My husband and I are hoping to buy land and build a home using the FHA's Construction-to-Permanent Loan product. The problem? I can't find anyone in my area that has even heard of the program! I called HUD and they directed me to their online database that 1) is outdated and 2) does not filter using this loan as an option. I've called over 15 mortgage companies/banks on this list and none have even heard of the product. Any direction as to who may have this would be very helpful! I am in Hanson, Massachusetts.<br/><br/>Thanks so much!!!!<br \><br \>9 replies Sat, 31 Aug 2013 12:01:00 GMT http://www.zillow.com/advice-thread/Finding-a-Lender-Using-FHA%27s-Construction-to-Permanent-Loan-Product/509396/ 2013-08-31T12:01:00Z Stay away from FHA scam http://www.zillow.com/advice-thread/Stay-away-from-FHA-scam/445860/ FHA loan is a total rip off that one should stay away from. Look for a conventional loan or don't buy that dream house or at best foreclose/short sale that house. But never go for an FHA loan because it is way costlier than you think:<br/>1.The upfront PMI you pay to secure the loan which is anywhere from 1-1.50% (may have changed again) of the loan value. If someone tells you that you get refunded when you refi the loan then either they don't know what they are doing or are simply lying. Only way to get a marginal % of the refund only if you refi FHA into another FHA that too within 2 yrs.<br/>2.Plus, the monthly MI you pay every month (same % as above but PMI /12 months). This one also gets decided at the time of securing the loan &amp; does not change unless your LTV goes below 78% or only after 5-6 years later. How often that happens? So don't be under the impression this monthly MI changes as you pay down the loan.<br/>3.FHA requires you to have HO6 insurance if you are in a condo or a townhouse. Even for an independent home, they expect higher insurance limits. Banks insist for additional insurance because FHA is considered a high risk loan. You also have to impound your taxes &amp; insurance. Your monthly payment includes all &amp; you cannot change it for the lifetime of the loan since property taxes and insurance are also considered as monthly mortgage.<br/>4.You get very little info from the bank and HUD/FHA pre/post securing loan. You have to get onto HUD website or Google to your glory to learn more. HUD also changes rules every year and how YOU as an individual keep track these constantly changing stupid rules is beyond me. And loan agents are also clueless.<br/>So, DO NOT GET MISLEAD BY THE LOW, SEXY APR FHA loan. Consider other loan options, even if that option includes not buying that dream house at this time in your life, but STAY AWAY FROM FHA LOANS. IT IS AN OFFICIAL PONZY SCHEME TO RIP THE POOR GUY OFF. Hope my experience saves you from FHA scam.<br \><br \>30 replies Wed, 06 Jun 2012 22:40:00 GMT http://www.zillow.com/advice-thread/Stay-away-from-FHA-scam/445860/ 2012-06-06T22:40:00Z FHA w/Repair Escrow on a HUD- buyer brings cash but loan goes up??? explain please http://www.zillow.com/advice-thread/FHA-w-Repair-Escrow-on-a-HUD-buyer-brings-cash-but-loan-goes-up-explain-please/393841/ Hey lenders,&nbsp; it would be really great if there were a 3rd grade level explanation on this FHA repair escrow on HUD houses where the buyer has to increase the loan and bring the cash to be escrowed...it sounds a bit like double charging the buyer in the end--they are paying interest on money the brought to pay for repairs??? maybe I read it wrong- but my take on it is if a consumer is gettting an FHA loan -&nbsp;they're better off not bothering to look at HUDS.&nbsp; Don't want to take that approach- would far&nbsp;rather have a great explanation that I could&nbsp;check against what there is to read and see if it all meshes together.&nbsp;&nbsp; This seems awfully messy.&nbsp;<br \><br \>25 replies Wed, 06 Apr 2011 04:13:00 GMT http://www.zillow.com/advice-thread/FHA-w-Repair-Escrow-on-a-HUD-buyer-brings-cash-but-loan-goes-up-explain-please/393841/ 2011-04-06T04:13:00Z FHA loan after bankruptcy and/or foreclosure http://www.zillow.com/advice-thread/FHA-loan-after-bankruptcy-and-or-foreclosure/397732/ Two&nbsp;years ago someone filed bankruptcy and included a home in the bankruptcy. The property was discharged along with the bankruptcy. According to FHA&nbsp;guidelines, is this house&nbsp;considered a bankruptcy or a foreclosure? Would they have to wait 2 or 3 years for an FHA loan? Or will it depend on the strength of the borrower?<br \><br \>10 replies Thu, 05 May 2011 07:13:00 GMT http://www.zillow.com/advice-thread/FHA-loan-after-bankruptcy-and-or-foreclosure/397732/ 2011-05-05T07:13:00Z FHA Refinance during Chapter 13? http://www.zillow.com/advice-thread/FHA-Refinance-during-Chapter-13/416163/ My husband and I have 6 months remaining in a 5-year Chapter 13 repayment plan.&nbsp; We would like to refinance our mortgage:<br/><br/>- Currently owe $297k at 5.875%/30 year fixed (conventional through Wells Fargo)<br/>- We believe the house would be appraised at approximately $540k<br/>- We have a HELOC balance of approx. $80k (would need to re-subordinate)<br/><br/>My husband's credit score is 668 and mine is 610.&nbsp; Can we qualify for FHA?<br \><br \>10 replies Mon, 19 Sep 2011 15:25:00 GMT http://www.zillow.com/advice-thread/FHA-Refinance-during-Chapter-13/416163/ 2011-09-19T15:25:00Z Finding a Lender Using FHA's Construction-to-Permanent Loan Product http://www.zillow.com/advice-thread/Finding-a-Lender-Using-FHA%27s-Construction-to-Permanent-Loan-Product/509396/ Hi there, <br/><br/>My husband and I are hoping to buy land and build a home using the FHA's Construction-to-Permanent Loan product. The problem? I can't find anyone in my area that has even heard of the program! I called HUD and they directed me to their online database that 1) is outdated and 2) does not filter using this loan as an option. I've called over 15 mortgage companies/banks on this list and none have even heard of the product. Any direction as to who may have this would be very helpful! I am in Hanson, Massachusetts.<br/><br/>Thanks so much!!!!<br \><br \>6 replies Sat, 31 Aug 2013 12:01:00 GMT http://www.zillow.com/advice-thread/Finding-a-Lender-Using-FHA%27s-Construction-to-Permanent-Loan-Product/509396/ 2013-08-31T12:01:00Z VA home loan with bad credit http://www.zillow.com/advice-thread/VA-home-loan-with-bad-credit/501377/ 100% disabled vet(with special monthly compensation) with bad credit.&nbsp; When I first got out of the Marines in 2007, I was living off $940 month from VA benefits as they took over 2 years to process my other claims.&nbsp; Was very hard to keep up with payments on less than $1000 a month.&nbsp; I now have enough income to pay for a mortgage, yet it's impossible for me to get one with a credit score of under 600.&nbsp; I'm trying everything I can to rebuild it, but can't even get a credit card to help with that.&nbsp; With me and the lady friend together, we're pulling in over $7,000 a month, with hardly any payments on anything.&nbsp; Where can I possibly find somewhere who will look at my GUARANTEED BY THE US GOVERNMENT income, and help me out?&nbsp; Paying over $1000 in rent right now, but hate paying someone else's mortgage for them.&nbsp; Any help would be greatly appreciated!<br \><br \>75 replies Thu, 11 Jul 2013 17:00:00 GMT http://www.zillow.com/advice-thread/VA-home-loan-with-bad-credit/501377/ 2013-07-11T17:00:00Z VA home loan with bad credit http://www.zillow.com/advice-thread/VA-home-loan-with-bad-credit/501377/ 100% disabled vet(with special monthly compensation) with bad credit.&nbsp; When I first got out of the Marines in 2007, I was living off $940 month from VA benefits as they took over 2 years to process my other claims.&nbsp; Was very hard to keep up with payments on less than $1000 a month.&nbsp; I now have enough income to pay for a mortgage, yet it's impossible for me to get one with a credit score of under 600.&nbsp; I'm trying everything I can to rebuild it, but can't even get a credit card to help with that.&nbsp; With me and the lady friend together, we're pulling in over $7,000 a month, with hardly any payments on anything.&nbsp; Where can I possibly find somewhere who will look at my GUARANTEED BY THE US GOVERNMENT income, and help me out?&nbsp; Paying over $1000 in rent right now, but hate paying someone else's mortgage for them.&nbsp; Any help would be greatly appreciated!<br \><br \>75 replies Thu, 11 Jul 2013 17:00:00 GMT http://www.zillow.com/advice-thread/VA-home-loan-with-bad-credit/501377/ 2013-07-11T17:00:00Z FHA Refinance during Chapter 13? http://www.zillow.com/advice-thread/FHA-Refinance-during-Chapter-13/416163/ My husband and I have 6 months remaining in a 5-year Chapter 13 repayment plan.&nbsp; We would like to refinance our mortgage:<br/><br/>- Currently owe $297k at 5.875%/30 year fixed (conventional through Wells Fargo)<br/>- We believe the house would be appraised at approximately $540k<br/>- We have a HELOC balance of approx. $80k (would need to re-subordinate)<br/><br/>My husband's credit score is 668 and mine is 610.&nbsp; Can we qualify for FHA?<br \><br \>9 replies Mon, 19 Sep 2011 15:25:00 GMT http://www.zillow.com/advice-thread/FHA-Refinance-during-Chapter-13/416163/ 2011-09-19T15:25:00Z WHat are the Minimum Credit Scores Required for FHA Loans http://www.zillow.com/advice-thread/WHat-are-the-Minimum-Credit-Scores-Required-for-FHA-Loans/444776/ Many clients want to know what is the minimum credit score they will need to qualify for FHA loans. The information out there can be confusing especially if it is out of date!<br/><div style="text-align: right;" class="answer_body">Information on FHA loan requirements that was gathered even two years ago is now out of date. Modifications to the rules for required credit score requirements have changed.To get maximum financing on typical new home purchases, applicants should have a credit score of 580 or better. Applicants with a credit score of 500 to 579 according the the FHA guidelines, are "limited to 90 percent LTV". That means you must put 10% down.&nbsp;<br/>Applicants who wish to qualify for 100% FHA loan financing with no down payment required the FHA 203(h), Mortgage Insurance for Disaster Victims home buyers will need a credit score of 500 or better.&nbsp;<br/><br/>To get specific information on different types of FHA Loans available go to:&nbsp;<br/><br/><a rel="nofollow" href="http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/fhahistory">http://portal.hud.gov/hudportal/HUD?src=/program_offices/hou&hellip;</a>&nbsp;<br/></div><br \><br \>41 replies Wed, 30 May 2012 12:35:00 GMT http://www.zillow.com/advice-thread/WHat-are-the-Minimum-Credit-Scores-Required-for-FHA-Loans/444776/ 2012-05-30T12:35:00Z Stay away from FHA scam http://www.zillow.com/advice-thread/Stay-away-from-FHA-scam/445860/ FHA loan is a total rip off that one should stay away from. Look for a conventional loan or don't buy that dream house or at best foreclose/short sale that house. But never go for an FHA loan because it is way costlier than you think:<br/>1.The upfront PMI you pay to secure the loan which is anywhere from 1-1.50% (may have changed again) of the loan value. If someone tells you that you get refunded when you refi the loan then either they don't know what they are doing or are simply lying. Only way to get a marginal % of the refund only if you refi FHA into another FHA that too within 2 yrs.<br/>2.Plus, the monthly MI you pay every month (same % as above but PMI /12 months). This one also gets decided at the time of securing the loan &amp; does not change unless your LTV goes below 78% or only after 5-6 years later. How often that happens? So don't be under the impression this monthly MI changes as you pay down the loan.<br/>3.FHA requires you to have HO6 insurance if you are in a condo or a townhouse. Even for an independent home, they expect higher insurance limits. Banks insist for additional insurance because FHA is considered a high risk loan. You also have to impound your taxes &amp; insurance. Your monthly payment includes all &amp; you cannot change it for the lifetime of the loan since property taxes and insurance are also considered as monthly mortgage.<br/>4.You get very little info from the bank and HUD/FHA pre/post securing loan. You have to get onto HUD website or Google to your glory to learn more. HUD also changes rules every year and how YOU as an individual keep track these constantly changing stupid rules is beyond me. And loan agents are also clueless.<br/>So, DO NOT GET MISLEAD BY THE LOW, SEXY APR FHA loan. Consider other loan options, even if that option includes not buying that dream house at this time in your life, but STAY AWAY FROM FHA LOANS. IT IS AN OFFICIAL PONZY SCHEME TO RIP THE POOR GUY OFF. Hope my experience saves you from FHA scam.<br \><br \>25 replies Wed, 06 Jun 2012 22:40:00 GMT http://www.zillow.com/advice-thread/Stay-away-from-FHA-scam/445860/ 2012-06-06T22:40:00Z Having trouble getting a mortgage while enrolled in Income Based Repayment program for student loans http://www.zillow.com/advice-thread/Having-trouble-getting-a-mortgage-while-enrolled-in-Income-Based-Repayment-program-for-student-loans/437714/ I am having trouble getting pre-qualified for a mortgage.&nbsp; I have good credit 725 and have never had any problems paying my rent for the past 16 years. &nbsp;<br/><br/>Here's the catch: I've got a lot of student loan debt (gov't and private loans).&nbsp; My loans are currently in repayment and have never been delinquent.&nbsp; I'm enrolled in the "Income Based Repayment" program and consequently my monthly payment is zero dollars a month ($0.00).&nbsp; I can go into more detail about the IBR program later. &nbsp;<br/><br/>The impasse occurs with the underwriters who insist on calculating the payment that would be required if my loans were not enrolled in this IBR program.&nbsp; In which case I would not qualify for a mortgage.<br/><br/>I've heard that a portfolio loan could be an option.&nbsp; I'm not familiar with this type of loan (advantages vs. drawbacks), so any information, suggestions would be helpful.<br \><br \>17 replies Tue, 03 Apr 2012 19:18:00 GMT http://www.zillow.com/advice-thread/Having-trouble-getting-a-mortgage-while-enrolled-in-Income-Based-Repayment-program-for-student-loans/437714/ 2012-04-03T19:18:00Z Can I have two VA loan at once? http://www.zillow.com/advice-thread/Can-I-have-two-VA-loan-at-once/491435/ I currently have a VA loan for $350k and want to purchase a new house for $760k. My wife and I want to keep our current home. The county VA loan limit is $987,500. Am I eligible to have a second tier VA loan? If so what is my entitlement and how much down payment would I need to get that entitlement?<br \><br \>23 replies Thu, 09 May 2013 03:10:00 GMT http://www.zillow.com/advice-thread/Can-I-have-two-VA-loan-at-once/491435/ 2013-05-09T03:10:00Z FHA Back to Work Lenders in GA? http://www.zillow.com/advice-thread/FHA-Back-to-Work-Lenders-in-GA/515674/ Hi, Does anyone know of any lenders that are doing FHA Back to Work in Georgia? I am looking to buy in Gwinnett County. My short sale was 18 months ago. Thanks!<br \><br \>8 replies Thu, 17 Oct 2013 17:38:00 GMT http://www.zillow.com/advice-thread/FHA-Back-to-Work-Lenders-in-GA/515674/ 2013-10-17T17:38:00Z Suggest me ..... http://www.zillow.com/advice-thread/Suggest-me/556249/ Good To see. I received $2500 from <strong><u><em>[spam/URL removed by Zillow moderator, see our Good Neighbor Policy]</em></u></strong>. How Long will I have to pay it off?<br \><br \>1 reply Sun, 24 Aug 2014 11:15:00 GMT http://www.zillow.com/advice-thread/Suggest-me/556249/ 2014-08-24T11:15:00Z FHA and Non-Occupying Co Borrower http://www.zillow.com/advice-thread/FHA-and-Non-Occupying-Co-Borrower/507993/ Hey guys. I'm 24 years old and just starting the process of looking into purchasing my first home. I already have over $6000 in the bank for down payment and closing costs. I'm looking at spending under $100,000 around the Twin Cities suburbs in MN. I have been at my only employer for 8 years and have excellent credit. My income isn't very much so I'm looking into an FHA loan with a non-occupying co borrower (my parents.) My parents own their own home, have some debt, both work full times with excellent credit. I'm not looking to work my hours until mid 2015 when my son starts kindergarten. But I want to purchase now while the market is slowly getting better. I was wondering if I'm ever allowed to take my parents off my loan/mortgage once I start working full time. I don't want them to be attached to it forever just need their help to get me started. Any extra help/information would be great. Thanks in advance. Tanya<br \><br \>13 replies Wed, 21 Aug 2013 20:07:00 GMT http://www.zillow.com/advice-thread/FHA-and-Non-Occupying-Co-Borrower/507993/ 2013-08-21T20:07:00Z Still can't get a VA loan after we both have 620+ scores http://www.zillow.com/advice-thread/Still-can%27t-get-a-VA-loan-after-we-both-have-620-scores/498014/ We are looking to get a VA loan.&nbsp; We had a foreclosure in 2007 and bankruptcy in 2005.&nbsp; Our credit score was pulled yesterday by a lender.&nbsp; Mine is 650 and my wife's is 636.&nbsp; We were approved with credit score, but the computerized underwriter is declining us.&nbsp; What gives?&nbsp; It is quite frustrating to be above the magical 620 score only to have another hurdle in front of us.&nbsp; Any suggestions?<br \><br \>8 replies Thu, 20 Jun 2013 00:51:00 GMT http://www.zillow.com/advice-thread/Still-can%27t-get-a-VA-loan-after-we-both-have-620-scores/498014/ 2013-06-20T00:51:00Z loan for a manufactored home http://www.zillow.com/advice-thread/loan-for-a-manufactored-home/513992/ Looking for a lender in redding California. Got any suggestions ?<br \><br \>5 replies Thu, 03 Oct 2013 17:43:00 GMT http://www.zillow.com/advice-thread/loan-for-a-manufactored-home/513992/ 2013-10-03T17:43:00Z