If you come from The Sooner State, then FHA mortgage Oklahoma is the perfect home purchase product for you. You just require a credit score of between 580 and 620 to get funding. Indeed, you can borrow as much as you want only that you should meet certain income regulations. There are two factors that Fhahomeloangroup.com recommends before starting the process. These include the debt-to-income ratio and the Area Median Income (AMI) whose formulae follow next.
Highest Debt-to Income Ratio in the Land
There is no other program apart from FHA mortgage OK that lets you get away with a debt-to-income ratio of 29/41 percent. What does this mean?
- That your housing expenses do not exceed 29 percent of your gross monthly earnings.
- That all your current debts combined, including housing and credit card payments, do not surpass 41 percent of your gross earnings.
Basically, this means that you are never restricted on the amount that you can borrow like in a conventional market. In the latter context, the ratios are usually low at 28/36. This means that your housing costs cannot go beyond 28 percent of income whereas all outstanding debts cannot surpass 36 percent of your earnings.
The Area Median Income (AMI)
If you are intending to purchase property soon, through FHA mortgage Oklahoma, you may need to understand a few details about your county’s yearly average income or AMI. This is the collective per capita income of your particular jurisdiction like in these details:
- The current figures for virtually all counties from Adair to Woodward, including the Oklahoma City metropolis, are $271050 for single-family units and $521250 for four-unit homes.
- With 115% of any of the above two AMIs, you can access FHA mortgage OK through the Guaranteed Program. This is for moderate-income earners whose earnings are slightly above the AMI. If you are in the low-income tier, you can access the Direct Program that allows you to borrow at 50 to 80% of the AMI.
What Qualifications Do I need?
You can pass the test for this program if you meet the following:
- You do not have other debt liabilities other than FHA mortgage Oklahoma.
- You have a credit score of at least 620.
- You intend to reside in the property as your primary residence.
- You have had a steady credit history for the forgoing 24 months.
How to Apply for FHA mortgage OK
- 1. Submit your loan request and pass our easy pre-qualification stage.
- 2. Select a lender with competitive interest rates.
- 3. Get approval for financing from the Housing Department (HUD).
- 4. Settle closing fees and start the repayment process.
On the question of closing fees, you can rest assured that our team will negotiate with the seller to settle at least 6% of this upfront of FHA mortgage Oklahoma. Besides this, we will evaluate whether you meet the aforementioned 29/41 debt-to-income ratio for easier processing of this financing plan.
Contact the FHA Home Loan Group today! Call [888] 202-4479