When we bought our home last year, I was told that FHA loans never have a pre-payment penalty. I guess I shouldn't worry since State Farm is practically building me a new home I don't think I'll be moving any time soon!
IM SORRY I am new to this board and I was going by what my husband told me. He is now in the doghouse. I had never researched an FHA loan because of what he told me. He does swear that he could not send extra money every month to take off interest and that it was a 331/2 year loan. Again I'm sorry. Thats is why I'm here because you all can help me with credit.loans etc... On hands and knees begging for forgiveness!!
Your "PAYMENT" coupon should have a line that says "EXTRA PRINCIPAL PAYMENT"______ REGULAR PAYMENT_____________________ EXTRA PRINCIPAL PAYMENT_____________ EXTRA ESCROW PAYMENT_______________ FEES__________________________________ INSURANCE___________________________
George I never saw the payment or loan agreement much less who the loan was with. This was my husband and ex-wife's house. This is what he told me and believe me we have had a heated disagreement for the past 2 hours over it. Anyway thanks for letting me know what the statement looks like. I'm going to be very careful when looking for a loan and not let him do anything but sign the papers HAHA You know how women think WHATS YOURS IS MINE AND WHATS MINE IS MINE Just kidding. Well maybe not
FHA usually requires 3% downpayment on small loans and 5%, maybe as much as 6% max on larger loans. Your income, credit, and debt will factor into your downpayment.
I was told that it depended upon the fair market value of the homes in the area you are seeking to buy or build. If you move in a neighborhood where homes generally range from 100,000+ then you could be financed for that amount. Of course, other factors should matter, like whether or not you can afford that price home, your debts, utilities, etc...
