Let’s start with some facts. FHA loans are a mortgage issued by the Federal Housing Association (FHA), which is a U.S. government agency. These loans are insured by the FHA and have smaller down payments than conventional loans. These are a great choice for 1st time home buyers with lower down payment requirements and easier credit qualifications.


Like any loan, they come with lender qualifications such as:

  • FICO score 620 or greater
  • 3.5% down payment
  • 2 years of steady income and proof of employment


The pros of using an FHA loan are:

  1. Great interest rate
  2. High loan to value (96.5%)
  3. You can buy up to a four unit using FHA
  4. Easier to qualify based on debt-to-income ratio

Contact Todd Probasco VP Mortgage Lending at Lakeside Bank 708.205.2983 or email t.probasco@lakesidebank.com for more information.

Join my newsletter.

Get my housing market updates directly to your inbox.