FAIL (the browser should render some flash content, not this).

FHA No Money Down

If you are cash strapped but really want to buy a house, we have available a FHA program with a zero down payment. This program requires that your income be under 115% of the median income for the area you intend to buy. The Zero down payment FHA loan is not available for manufactured homes and is only available for SFRs, condos, and townhouses. There are just two lenders offering this program. With an FHA loan you will pay upfront MIP (mortgage insurance premium-1.75% of loan amount) plus a monthly premium. The upfront MIP can be financed over and above the loan amount, or paid in cash or by the seller or a lender credit. Additionally, the monthly MIP must be paid for the life of the loan. The mortgage insurance can be .8% to 1.05% of the loan balance annually.

The silent second mortgage is for 3.5% of the purchase price. After 3 years of on time payments, the loan is forgiven and is not required to be paid back. The interest rate will vary depending on the term you select. This program is available up to $417,000 purchase price with lender credit that can used to offset closing costs. The other option for closing costs is the request the seller to assist with a concession for up to 3% of the purchase price. For loans purchase prices above $417,000, the program is available (to the max county loan limits per HUD) Click here for FHA mortgage rates

No Money Down FHA
  • 96.5 % First Lien
  • 3 1/2 % 2nd Lien - Interest rate varies but under 5% depending on term
  • The 2nd lien does not have to be repaid after 3 years of on time payments
  • Max purchase price $417,000 to receive lender credit
  • High balance loans available at higher rates with no lender credit
  • 640+ Credit Score
  • Homebuyer education required
  • Income cannot exceed 115% of Median income for geographic area
  • HUD Median income limits
  • Max DTI 55% with 740 credit score - 50% with 680 score - 45% 645 score
  • 2 years after bankruptcy required
  • 3 years after foreclosure required

Click here for additional information on FHA loans

Home   |   Apply for a loan   |   How it works   |   Mortgage calculators   |   About us
Privacy Policy | Contact Us
BRE Lic. #01043502 - NMLS #359070 - Toll Free: 866-625-RATE - Fax: 866-350-7334
Pacific West Capital BBB Business Review SSL Secure website

Pacific West Capital © 2023 - California Mortgage Broker