April 18th, 2023 8:12 AM by WILLIAM GARRISON
As a realtor with RE/MAX Sarasota County, Bill Garrison can provide information and assistance to potential homebuyers who are interested in obtaining an FHA mortgage. While 100% FHA mortgages are not currently offered by the FHA, Bill can provide guidance on the availability of FHA loans with a down payment requirement of 3.5% and other loan options that may be available to homebuyers. A 100% FHA mortgage refers to a home loan that is fully backed by the Federal Housing Administration (FHA) and does not require a down payment from the borrower. This type of mortgage is often referred to as a zero-down mortgage because the borrower does not need to put any money down upfront. While 100% FHA mortgages were available in the past, they are not currently offered by the FHA. The closest equivalent to a 100% FHA mortgage today is an FHA loan with a down payment requirement of 3.5%. This means that borrowers can finance up to 96.5% of the home's purchase price with an FHA loan.
It's worth noting that while a 100% FHA mortgage would have allowed borrowers to purchase a home without any money down, it would have also required borrowers to pay for mortgage insurance, which can increase the overall cost of the loan. FHA loans with a down payment requirement of 3.5% also require mortgage insurance, but the cost may be lower than what would be required with a 100% FHA mortgage. It's important for borrowers to carefully consider their financial situation and their long-term goals when deciding whether to pursue a 100% mortgage or another type of loan. A mortgage professional can help borrowers understand the pros and cons of different loan options and make an informed decision. Bill may also be able to provide information on the local housing market in Sarasota County, including current home prices, available properties, and other factors that may impact a homebuyer's decision to pursue an FHA mortgage or another type of loan. Overall, as a licensed real estate professional, Bill can provide valuable guidance and support to homebuyers throughout the home buying process, including helping them navigate the mortgage application and approval process. If you are considering purchasing a home in Sarasota County, working with a knowledgeable and experienced real estate professional like Bill Garrison can help you make informed decisions and achieve your homeownership goals