If you’ve done any research into home loans, then you know that FHA loans are one of the most popular mortgage types in the country. FHA loans in Kansas City make up about 20% of all the mortgages in the area, but how do they work, and what makes this loan option one of the best in Kansas City for so many home buyers?
Of course, when it comes to something as complex and personal as a home loan, what is right for one person or family may not be right for another. Choosing the right home loan is something that you should discuss with a trusted lender and decide upon after taking into account your situation, lifestyle, budget, and the type of home that you want to buy. However, FHA loans in Kansas City offer a number of benefits, especially for first-time homeowners or families who may not have perfect credit or a lot of money saved up for a down payment.
Because FHA loans are insured by the Federal Housing Association, they are able to offer more flexible lending guidelines and down payment options than many other loans provide. In fact, for individuals with a credit score of 580 or higher, FHA loans in Kansas City are often available with down payments as low as 3.5%. Even if your credit is a little lower, you can still get down payments around 10%. For families who are just starting out and who may not have the 20% down payment that is standard with many mortgages, the flexibility of FHA loans can be a lifesaver.
While the low down payments are perhaps their biggest selling point, there are many other aspects of FHA loans that make them among the best in Kansas City for many prospective home buyers. For example, they offer competitive interest rates and flexibility when buying and selling a home, not to mention being friendly to those who have gone through bankruptcy or foreclosure so long as you meet any other FHA requirements.
So what’s the downside of an FHA loan? Well, it’s less a downside than simply a caveat, but because the Federal Housing Association is just an insurer, not a lender, in order to get an FHA loan in Kansas City you’ll still have to find an FHA-approved lender. Fortunately, First Fidelis has a lot of experience in helping Kansas City home buyers find the loans that are right for them. Whether you’re looking for FHA loans in Kansas City or some other option, we’ve got all the loans you need, and we’ll help walk you through the pros and cons of each one to find the solution that’s perfect for you.
As an FHA-approved lender, we’re always happy to help prospective home buyers find the best mortgage options in Kansas City—whether you’re buying your first home or your fifth. To learn more about FHA loans in Kansas City or any other loan options that may be right for you, contact First Fidelis today!