The FHA home loan Colorado has influenced the region’s borrowing limits in different forms, making it one of the most unique. Here is a look at some of the most essential features of the FHA home loan Colorado program, before embarking on the county-by-county limits.
1. The money down parameter remains 3.5 percent of the entire loan.
2. The interest margins vary on a perpetual basis. To ensure that the rate remains unmitigated, applicants can choose the 15-year or 30-year fixed-rate offer. They can also opt for an adjustable-rate scheme that sees the rates appreciate or depreciate according to economic times.
3. Everyone can qualify for the FHA home loan Colorado including fresh college graduates and post-bankruptcy victims.
The only upfront payment for the loan is the 3 ½-percent deposit on the loan. However, one can obtain it from a relative, a charity organization or another source who can donate it directly to the lender’s account. It is only then that one can kick start the payment period for the balance. The current loan-to-value figures for the FHA home loan Colorado program show that borrowers can fund up to 96.5 percent of the entire sum, while a refinance can utilize 115 percent of the entire home’s value.
Diverse Upper Borrowing Limits
Unlike most states that enjoy uniform figures that limit the amount applicants can borrow, Colorado showcases a wild dissemination of limits. High-income counties for example can go to as high as $405250 for the single-unit living quarters, while the quadruple-unit comes at a peak of $781 250. Here is an assessment of the six counties whose figures show a difference in the two simplest family sizes: the single and double-unit. The figures are for the financial year 2013.
County nameSingle Unit ($)Double Unit ($)
From the above diagram of the latest county margins of the FHA home loan Colorado, out of six examples, only two conform to the national average. These include Chafee and Baca that have starting values of $271050. This is a stark difference in comparison with areas like Mississippi where virtually all counties stand in the $271050 single-family-unit threshold.
First time buyers stand to benefit most from the FHA home loan Colorado program. This is because they do not have to pre-qualify with as many details as their conventional counterparts. For instance, college graduates qualify for the loan as long as they have been consistent in paying their school fees in the last two years of college. A similar scenario affects newlyweds who qualify by the fact that they have never owned property, either jointly or separately, in the last three years. There are still instances where they still continue to enjoy the affix, ‘first-time buyer.’ This is when they divorce and the one whose former property was not in his or her name applies for a new loan under the first time home buyer dispensation.
All FHA home loan Colorado borrowers have the ability to enjoy the mortgage without suffering grueling processes. All they need is a FICO score of just above 620 and they will qualify for the loan. There are special allowances for post-bankruptcy borrowers, whose bad credit status affords them the ability to access the loan with a score of below 620. Anyone can apply online via certified websites or the HUD portal.