Golden Eagle Mortgage: Your Guide to Getting the Right FHA Loans in Hollister, CA
If you’re looking to buy a home in Hollister, CA, you may be wondering what kind of mortgage is right for you. While there are many options available, this is one of the most popular options.
Our skilled team is here to guide you through the benefits of getting FHA loans in Hollister, CA, who can qualify and how to take advantage of first time home buyer programs.
What is an FHA Loan?
This type of mortgage is insured by the Federal Housing Administration (FHA), a government agency within the U.S. Department of Housing and Urban Development (HUD). They are designed to help people with lower credit scores and less money for a down payment to buy a home.
One of the primary benefits is that it allows borrowers to put down as little as 3.5% of the purchase price of the home. This can be a huge help for those who may not have saved up a large down payment. Additionally, these types of loans have less strict credit score requirements compared to conventional loans. This means that if you have a lower credit score, you may still be able to qualify.
What are the FHA Loan Requirements in California?
Low Down Payment
As mentioned, one of the most significant benefits of getting one of these loans is that you can put down as little as 3.5% of the purchase price of the home. This can make buying a home much more accessible for those who may not have saved up a large down payment.
Lower Credit Score Requirements
They have less strict credit score requirements than conventional loans. This means that even if you have a lower credit score, you may still be able to qualify.
More Forgiving Debt-to-Income Ratio
They typically have more forgiving debt-to-income ratio requirements than conventional loans. This means that if you have a higher amount of debt compared to your income, you may still be able to qualify.
Competitive Interest Rates
While interest rates can vary, they are often competitive with conventional loans. This means that you may be able to secure a lower interest rate, compared to other types of mortgages.
To Qualify for this Type of Loan, You Must Meet the Following Requirements
A Minimum Credit Score
While they have less strict credit score requirements compared to conventional loans, you will still need a minimum credit score of 580 to qualify for the 3.5% down payment option. If your credit score is lower than 580, you may still be able to qualify, but you will need to put down at least 10%.
Employment History
You must have a steady employment history, typically for at least two years, to qualify for this type of loan.
Debt-to-Income Ratio
Your debt-to-income ratio must be below a certain threshold to qualify. This ratio is calculated by dividing your total monthly debt payments by your gross monthly income.
Property Requirements
The home you want to buy must meet certain property requirements, including being your primary residence and being in good condition.
Golden Eagle Mortgage Can Help You Secure an the Ideal Loan for You in Hollister, CA
At Golden Eagle Mortgage, we understand that buying a home can be a daunting process. That’s why we’re committed to helping our clients navigate the mortgage process with ease. We specialize in all different loan types and can help you determine if this type of mortgage is right for you.
Our team of experienced mortgage professionals will work with you every step of the way to ensure that you get the best possible mortgage rate and terms. We’ll help you understand the requirements for each loan type and assist you in gathering the necessary documentation to apply. We’ll also help you understand the home-buying process and provide guidance on finding the right home for your needs.
If you’re ready to take the next step toward homeownership in Hollister, CA, contact Golden Eagle Mortgage today. Our team is here to help you secure a loan that fits your unique financial situation and goals.
Are There Any Limits to What You Can Borrow?
It’s important to note that there are limits to the amount of money you can borrow with these loans. The FHA sets loan limits for each county in the United States, including Hollister, CA. In 2023, the limit for a single-family home in San Benito County, which includes Hollister, is $764,750.
This means that if you want to buy a home in Hollister that costs more than $764,750, you may need to consider a different type of mortgage or save up for a larger down payment. However, if you’re looking to buy a home in Hollister that falls within the set limits, this type of loan could still be a great option for you.
No Matter What Type of Loan You’re Looking to Get, We Have All You Need to Get You Started
With its low down payment, more forgiving credit score requirements, and competitive interest rates, an FHA loan can help make homeownership more accessible.
At Golden Eagle Mortgage, we’re here to help you navigate the mortgage process and find the best possible loan for your unique situation. Contact us today to learn more about our loan options and how we can help you buy your dream home in Hollister.
