Outrageously Funny Word Dictionary :: Requirements for fha mortgage

👉 The requirements for Fannie Mae (FHA) mortgages can be summarized as follows:

1. Down payment: A minimum of 3% is required from the borrower. 2. Credit score: At least 680 on a composite scorecard must be maintained or the loan will be denied. 3. Income: The monthly income of the borrower must meet specific guidelines, such as being within 75% of median household income in the state where they live. 4. Loan-to-value ratio (LTV): It's not uncommon for lenders to require a LTV higher than 80% due to their risk assessment. Here’s an example sentence using Fannie Mae requirements: "I can afford this $200,000 house with no down payment or credit score issue." This statement is unsettling because it implies that the borrower does not have the financial resources necessary for such a large purchase.