The FHA guidelines on this site are intended
for the professional in the mortgage industry: mortgage underwriters,
mortgage processors,
and loan officers. This site is intended as a guide only.
Please use caution as every lender has the authority to make
determinations as to what is or is not acceptable in the grey areas or in
the strength of the borrower, for their company.
Hey, it is their portfolio and their investors that take precedence.
In addition to the prerogative of each investor, HUD makes changes to
the guidelines often. We try to keep up to date with HUD but
if you have concerns please visit the hud.gov web site as they are the
one, the only, and the final authority. We can offer no
guarantee to the accuracy of the information contained here. All of
this information is available in the HUD 4155.1 Rev 5 handbook and is
available on their web site.
Today's market is in a constant state of change. When major
changes occur I send out an email or newsletter. If you would like to be
included just fill out the form on the Newsletter
page. I don't share or
sell your address and I don't send out junk email.
Borrower Eligibility:
Primary Borrowers:
Borrower must have a Social Security Number be able to document a satisfactory
2 (two) year history of credit, income and assets.
Permanent resident aliens are eligible under the same terms as United
States Citizens. The borrower must show evidence of Green
Card information.
Non-permanent resident aliens may be eligible if satisfactory evidence of
legal residency and ability to work in the United States is documented.
- Borrower must be the primary resident only.
- Borrower must have a social security number and a satisfactory 2-year
credit profile, income, assets, and credit.
Occupying Co-Borrowers:
Co-Borrower must take title to the property and sign the note and mortgage
documents.
Co-Borrower must complete a loan application and a complete
underwriting of income, credit and assets is required. The co-borrower will be
qualified the same as the primary borrower.
The co-borrower cannot be a person who is a third party to the purchase
transaction: seller, realtor, builder, or appraiser.
Non-Occupying Co-Borrowers:
A co-borrower who will not occupy the property, but is being added to the loan application to strengthen the
profile is permitted.
Maximum financing is available under the following:
- The Co-Borrower must be a close family member or demonstrate a long-standing family relationship with the primary
Borrower. If no such relationship can be verified, the LTV cannot
exceed 75%.
- The subject property is a single family detached, PUD, or an
approved condo unit.
- Co-Borrower must have a pimary residence in the United States of
America.
- A complete credit underwriting analysis will be performed for the
non-occupant co-borrower. The income, assets and
debt will be included in the loan information and will be weighed equally with
the borrower.
