FHA Loans

FHA Loans with Flexible Approval Requirements

FHA loans are a lending option that helps certain clients who would struggle to obtain a conventional mortgage achieve the dream of owning a home. This type of mortgage is funded through private lenders like Boise River Lending, but are insured through the Federal Housing Administration (FHA). FHA loans have more flexible approval requirements than traditional loans, in addition to low down payments. To learn more about FHA loans and see if you’re eligible, contact Boise River Lending today. We have more than 20 years’ experience in home lending, and we can help you find a path to home ownership. Contact us if you are considering purchasing a home in Boise, Meridian, Twin Falls, or surrounding Treasure Valley and Magic Valley in Idaho.

A Nonconventional Loan Option

After more than two decades in the industry, we have learned that our clients have widely varied goals for home ownership and diverse financial backgrounds. While some are more suited for traditional mortgage options, many others benefit form nonconventional loans like FHA loans. These are called “nonconventional” because they are backed through the federal government. Other types of government-insured loans include USDA loans (through the U.S. Department of Agriculture) and VA loans (through the U.S. Department of Veterans Affairs).

Because nonconventional loans are backed through the federal government, they pose less of a risk to lenders than a traditional loan. When a borrower defaults on an FHA loan, the federal government guarantees to reimburse the private lender. This means borrowers can provide loans to a broader range of clients.

Key Characteristics of an FHA Loan

There are several key components that make an FHA loan unique – in addition to being backed through the federal government, FHA loans:

  • Are available for as little as 3.5% down payment with a credit score of 580 or higher. Clients with a score between 500-580 need to put down 10% down payment. Clients with a credit score lower than 500 typically will not be eligible for an FHA loan. Down payments can be obtained as a “gift” if that is an available option to you.
  • Have competitive rates, but these rates typically cannot beat the rates of a “conventional” loan. In return for the more lax approval requirements, clients will pay more for an FHA loan over time.
  • Often have low or free down payments.
  • Are available 1-4-unit properties, single family homes and preapproved mobile homes and factory-built homes.

Like any type of home financing, FHA loans from Boise River Lending should not be taken lightly. Our team focuses on understanding clients’ unique circumstances and matching each with the best loan options for them.

Achieve the Dream of Owning a Home with a Fresh Start FHA Loan

At Boise River Lending, we enjoy building lifelong relationships with our mortgage clients. To learn more about FHA loans, contact us if you live in Boise, Meridian, Twin Falls, or surrounding Treasure Valley or Magic Valley, we want to speak with you. We offer complimentary consultations on FHA loans and all other types of home financing. Contact us to get started today.