FHA Requirements
Closing Costs and Allowable Charges
While FHA requirements define which closing costs are allowable as charges to the borrower, the specific costs and amounts that are deemed reasonable and customary are determined by each local FHA office. All other costs are generally not allowed and are usually paid by the seller when buying a new home, or paid by the lender when refinancing your existing FHA loan.
- Lender's origination fee
- Deposit verification fees
- Attorney's fees
- The appraisal fee and any inspection fees
- Lender's origination fee
- Cost of title insurance and title examination
- Document preparation (by a third party)
- Property survey
- Credit reports (actual costs)
- Transfer stamps, recording fees, and taxes
- Test and certification fees
- Home inspection fees up to $200
Allowed in an FHA refinance loan are wire transfer fees, courier fees, reconveyance fees, and fees to payoff bills.
FHA Loan Requirements
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FHA Loan Articles and Mortgage News
September 25, 2023 - If you are new to buying or building a home, there are some important home loan terms to be aware of. Do you know what amortization is? Mortgage insurance? We examine some of the key terms here.
September 24, 2023 - What do you need to know about FHA loan limits? Some borrowers look at the loan limits, thinking that’s the total amount that the lender will offer them if the loan application is approved and expect to borrow that maximum amount.
September 23, 2023 - ABC News ran an article noting that some borrowers can get into a home loan with mortgage rates as low as three percent. How is this possible in an era where mortgage loan rates are at seven percent? What the article is talking about is the process of loan assumption.
September 22, 2023 - How do you know if you are being too hasty when applying for a home loan? We aren’t talking about whether or not you should buy a particular home or not, but rather whether you as a potential borrower have given yourself enough time to prepare for the application.
September 20, 2023 - Down payment issues may vary for any home loan, whether it is an FHA loan, a VA mortgage, or a USDA construction loan. But there are some things all mortgages have in common where down payment money is concerned. The earlier you know these issues, the better.
