| FHA Home Loans |
Vs. |
Conventional Loans |
| 0 - 3% Down Payment |
5% Down Payment* |
| Lower Monthly Mortgage
Insurance |
Higher Monthly Mortgage
Insurance |
| Maximum 1% Origination fee |
Unlimited Origination fee |
| No Credit Score Requirements |
Credit Scores Required |
| Controlled Loan Closing
Costs |
No controls on amount or
type of loan closing cost. |
| Can qualify for loan two
years after Bankruptcy |
Must wait four years**
after bankruptcy to qualify |
| Can qualify for loan three
years after Foreclosure |
Must wait four years
after Foreclosure to qualify |
| Higher qualifying Ratio's |
Lower qualifying ratio's |
| Seller Can credit up to 6%
towards buyers closing costs |
Maximum seller credit is 3%
towards buyers closing costs |
| Termite Report &
Clearance required on all purchases |
Termite Report &
Clearance not required on purchases |
| Property must meet FHA
minimum condition standards |
No property condition
standards |
