Glen Carbon FHA Home Loan
Serving Illinois Since 1997
My wife and I recently purchased a House and Alan and his team were fantastic. They found the loan we needed and worked with us promptly on any questions we had. I would highly recommend Alan and his team for your purchasing needs. Thank you again Alan.
Jon from Smart mortgage went over and beyond to make my loan process an easy and rewarding one. Thanks again Jon YOU ARE THE BEST!!!
I would like to give my thanks to smart mortgage for giving me the chance to get in to my own home. Despite the credit challenges I had mr Ryan K. He guided me through everything I needed to do. Even when I was confused with things he worked with me sometimes even at 11 o’clock at night. He is a VERY hard worker. And I appreciate everything he did for me and my children. Thank you so much for your hard work.
I cannot say enough about Brian and Smart Mortgage Centers. They got my loan “clear to close” in 5 business days as well as closed in 3 weeks’ time! This is nearly an impossible feat. Brian is a dedicated specialist that knows this business very well. If you want the job done correctly, work with Brian.
Ryan is the man! He went above and beyond to help us get the best rates possible and helped calm my nerves during times that the home buying process was rollercoastering. Will definitely call Ryan again for mortgage needs and recommend him to my friends and family!
Access to the best rates available compared to my current mortgage and two other mortgage companies. Jon was awesome to work with, communicative, personable, understanding, looking out for your best interests, etc! Fast, precise and efficient service. Everything electronically made it so easy to do. I will do business with Jon at Smart Mortgage in future and refer my friends!!! Awesome experience! Thanks Jon!
This was my first home purchase, and Ryan from Smart Mortgage made the process smooth and stress-free. With his help, we were able to navigate the process without any delays, and even get the appraisal fee waived and a great PMI rate. I’ll definitely be using Smart Mortgage in any future home purchases.
I had a difficult situation having to sell one property to re-use my VA benefit on my new construction home on a very short time line. Brian and the Team at Smart Mortgage Centers made it happen without any issues. When I was told by other lenders that it wouldn’t happen they came through! I would recommend this team for any home buying situation.
Find FHA Mortgage Brokers in Glen Carbon IL
FHA Purchase Loan Program
An FHA loan is a mortgage issued by federally qualified lenders and insured by the Federal Housing Administration (FHA). FHA loans are designed for low-to-moderate income borrowers who are unable to make a large down payment.
FHA Down Payment and Credit Scores
For borrowers interested in buying a home with an FHA loan with the low down payment amount of 3.5%, applicants must have a minimum FICO score of 580 to qualify. However, having a credit score that’s lower than 580 doesn’t necessarily exclude you from FHA loan eligibility. FHA programs with lower than 580 scores with are available with a 10% down payment.
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Eligible Property Types
Single-family houses – 2 to 4-unit residences (when one unit is owner-occupied) – Manufactured homes (mobile homes) – Condos FHA loans are for owner-occupied properties. Second homes and investment properties don’t qualify. However, a second home could qualify if the first home is not already a primary residence and doesn’t have an FHA loan.
We provide our borrowers fast pre-approvals, lower rates and exceptional customer service. Currently we are the highest rated and reviewed mortgage company in. We can get you pre-qualified in minutes and if approved shopping for your FHA home loan today.
Additional FHA Mortgage Options
If you find a home that needs fixing up, ask about our FHA home renovation programs. Did you know FHA offers forgivable grants in. (minimum credit score 580) Start your Glen Carbon FHA home loan now or call the FHA mortgage hotline at 888-882-1058. $60,000 Minimum Loan Amount
5 Reasons why home owners are choosing Glen Carbon FHA home purchase loans.
1. You don’t need perfect credit to qualify for FHA
Credit-score requirements for FHA loans depend on the down payment. For an FHA loan with a down payment as low as 3.5 percent, the borrower’s credit score must be 580 or higher. Those with credit scores between 500 and 579 must pay at least 10 percent down. People with credit scores under 500 generally are ineligible for FHA loans. However, don’t get discouraged there is more options available including alternative lending programs. The FHA does make allowances, under certain circumstances, for applicants with “nontraditional credit history or insufficient credit” if other criteria are met. Ask your Glen Carbon FHA lender or an FHA loan specialist whether you qualify. You must be out of bankruptcy at least two years and not have had a foreclosure within the past three years to get an FHA loan. In addition, you must be current with payments on federal student loans and income taxes. If you do not qualify because of one of the above you still may qualify for a non-prime or alternative lending, most non-prime and alternative lending programs require a higher down payment.
FHA loans even with bruised credit
2. The minimum FHA down payment is 3.5 percent
For most mortgage borrowers, the FHA requires only 3.5 percent of the home’s purchase price as a down payment. For example, if you bought a $200,000 home, the minimum down payment would be $7,000. If you had a conventional mortgage through a lender that required 20 percent down on that $200,000 house, you’d have to come up with $40,000. FHA borrowers can use their savings, a financial gift from a family member or a homebuyer grant for down-payment assistance.
3. Closing Costs May be Covered.
The FHA allows home sellers, builders and lenders to pay some of the borrower’s closing costs, such as for an appraisal, credit report or title expenses. For example, a builder might offer to pay closing costs as an incentive for the borrower to buy a new home. Lenders typically charge more interest on the loan if they agree to pay closing costs. Borrowers can compare loan estimates from competing lenders to decide which option is the best for them. The total for closing costs will vary based on the state you live in, the size of your loan and whether or not you pay points to lower the interest rate. Lenders are required to give you a Good Faith Estimate, or GFE, within three business days of your loan application. The GFE will give you a good idea early in the process of what your closing costs will be. HUD holds FHA lenders to no more 3 percent to 5 percent of the loan amount for closing costs.
Get Pre-Approved for Glen Carbon FHA Financing
4. There are two types of mortgage insurance to pay
Mortgage insurance is required when borrowers pay down less than 20 percent. It insures the mortgage for the lender in case the borrower defaults. All Glen Carbon FHA loans require the borrower to pay two mortgage insurance premiums: Upfront premium: 75 percent of the loan amount, paid when the borrower gets the loan. The premium can be rolled into the financed loan amount. Annual premium: 45 percent to 1.05 percent, depending on the loan term (15 years vs. 30 years), the loan amount and the initial loan-to-value ratio, or LTV. This premium amount is divided by 12 and paid monthly. So, if you borrow $150,000, your upfront mortgage insurance premium would be $2,625 and your annual premium would range from $675 ($56.25 per month) to $1,575 ($131.25 per month).
5. You can borrow cash for home repairs
FHA 203k Home Loan
The FHA has a special loan for borrowers who want extra cash to make repairs to their homes. The chief advantage of this type of loan, called a Glen Carbon FHA 203(k), is that the loan amount is not based on the current appraised value of the home, but on the projected value after the repairs are completed. A so-called “streamlined” 203(k) allows the borrower to finance up to $35,000 for nonstructural repairs, such as painting and replacing cabinets or fixtures. Among the repairs an FHA 203(k) will cover: Bathroom and kitchen remodels. Flooring. Plumbing. Decks and patios. Heating and air-conditioning systems. One big benefit of a Glen Carbon 203(k) is that it allows you to buy a fixer-upper that you might not have been able to afford otherwise. However, not all properties qualify and applying for the loan can be difficult because a detailed proposal of the work and cost estimates are required.
Another great options is the Fannie Mae HomeStyle®
The Glen Carbon Fannie Mae HomeStyle renovation loan allows you to either purchase a new home or refinance your existing home and make personalized improvements with one loan closing. The cost of your personalized improvements is placed in an interest-bearing Escrow account and disbursed as the work is completed and inspected. The HomeStyle loan does not have any minimum amount of improvements or any restrictions on the type of repairs that can be included in your loan. The only requirement is that any improvement must be permanently affixed to the property and adds value to your property. HomeStyle allows you to build home equity while increasing your comfort and enjoyment in home ownership.
Apply now for a Home Renovation Loan in Glen Carbon IL
Glen Carbon is a village in Madison County, Illinois, United States, 19 miles (31 km) northeast of St. Louis. The population was 12,934 at the 2010 census.
In 1801, Colonel Samuel Judy received a military grant for 100 acres (0.40 km2) of land near the base of the bluffs, just north of Judy Creek, and became one of the first permanent settlers of Madison County. The land was called Goshen Settlement, after the biblical land of Goshen. It was renamed Glen Carbon to reflect its coal mining heritage. Glen Carbon was incorporated as a village in 1892. It operated many coal mines until the last one shut down in 1934. Another industry was the St. Louis brick company, which burned down in the 1930s; then, right after being rebuilt, it burned down and was never rebuilt again.