Did you know the basic step of finding an FHA lender is to improve your credit score? FHA lenders allow 500 as the minimum credit score, but excellent scores are more than helpful. Also, every lender does not set the credit limit to 500. Many lenders want borrowers to have 620 credit scores — that may be a challenge for borrowers.
So, how do you know an FHA lender is a good fit for your situation? The article deals with the best hacks to find the best FHA lenders in Aurora.
Whether the FHA Lender is Experienced Enough
Finding an experienced FHA lender is a daunting task, but the right one streamlines your process. Lenders who offer to fund also get you pre-approved. Even those who have long work experience might not be relevant to your loan situation. Different factors including minimum property standards are essential to check for lenders and borrowers. Now, an experienced FHA lender gets through the process quicker. You can find many FHA lenders who allow down payment assistance programs. Go around and see which lender participates and helps you qualify.
If you want to apply for a certain FHA loan program, you need to see whether the lender has a similar experience. From FHA cash-out refinance loans to FHA 203(K) loans, there are multiple options available. In case you are confused, ask the lender which loan program meets your goals.
FHA Mortgage Insurance Premiums vs. FHA Lender Fees
The loans supported by the Federal Housing Administration help the lenders when the borrowers default on the programs. Now, you cannot avoid FHA mortgage insurance premiums. Whether you approach a bank or credit union, you need to pay the same amount everywhere. On the very contrary, lender fees are not the same — the amount keeps changing from one lender to another.
You can get hold of the loan estimate within 3 days of applying for the mortgage. In this case, you need to sign a standard form from the government. This is also a great way to compare the rates and terms that the other lenders offer. You can check the closing cost details on the loan estimate. Look for the lender’s total fees before making a final decision.
If you are facing trouble finding the best FHA lender in Aurora, you should contact Clear Lending.
