Mortgage Loans Assistance

FHA Loans

There are many advantages to an FHA Loan if you meet the minimum requirements. These include lower minimum credit scores than conventional loans, down payments as low as 3.5%, and debt-to-income ratios as high as 50% allowed.
The documents necessary include but are not limited to:
  • A valid Social Security number
  • Proof of U.S. citizenship, legal permanent residency or eligibility to work in the U.S.
  • Bank statements for, at a minimum, the last 30 days and documentation for any deposits made during this time
To qualify for an FHA loan, you'll need to satisfy several requirements. The FHA’s minimum requirements include:
  • A DTI of less than 50, which means that your total monthly debt payments can't be more than 50% of your pretax income
  • An appraisal to ensure that the home you want to buy is a good investment and meets basic safety and livability standards

Fixed Rate Mortgage Loan

Yes, we do need a down payment of at least 3% to 5% at the time of closing. A lower down payment lets you begin your homeownership journey sooner than if you had to save up the traditional 20%. But a higher down payment means you can borrow less, so your monthly payments may be lower and you can save on interest. In general, try to put down as much as you can comfortably afford.

Manage Your Mortgage

1st Advantage held mortgages are serviced through Midwest Loan Services. With this portal, you can access your mortgage information, and more: - Make payments - View loan history & escrow account - View account statements - View tax documents

Mortgage Loan Process

Getting a mortgage is a significant milestone, and we want to be there with you every step of the way. Use our mortgage loan checklist to help ensure you have everything you need to start the mortgage application process.
When purchasing a home, the processes can be overwhelming and stressful and it is useful to be aware of the necessary steps you must take to acquire your home loan. View our blog post about navigating the process to give your insight on each step along the way.

It may be challenging or impossible to get a mortgage with bad credit, but you don't need perfect credit to get approved for a home loan! We require a credit score of at least 640 to qualify for a mortgage.

Note that people with lower qualifying credit scores will get higher rates than people with excellent credit.

If your credit report shows missed mortgage payments in your financial history, you may still be able to get a home loan. The answer will depend on a few factors including:
  • Whether the late mortgage payments occurred recently (within the last year) or further in the past.
  • Whether the late mortgage payments are the only example of missed payments in your financial history.
  • Whether you have other types of late payments on your record and/or have had bills go to collection.
Keep in mind that repayment history comprises about 30% of your credit score so it's an important factor in the qualification process. If you do qualify for your home loan, the missed payments will likely mean you get a higher APR than people who have not missed payments.
The closing costs on a mortgage include the fees and charges for all the services needed to successfully purchase your home. The total can be about 3% to 6% of the purchase price, depending on the home value and where you live. Closing costs may be divided into two types – costs related to the property and costs related to the mortgage loan. Property-related closing costs may include:
  • Appraisal fee to determine what the home is worth.
  • Home inspection fee to evaluate the home before closing (an optional but recommended service)
  • Title search to ensure there aren’t any issues with the title of the home, such as a tax lien.
  • Title insurance to protect your lender in case there are issues with ownership after the sale.
  • Prepaid taxes – you may need to pay six months to a year’s worth of property taxes in advance at closing.
  • Settlement fee - fee for settlement agent to close your loan
  • Homeowner’s insurance - 12 mos upfront and 3 mos in escrow account
  • Prepaid interest - interest from the day of closing until the end of the month (under mortgage cost)
Mortgage-related closing costs may include:
  • Credit report fee to check your credit report and score.
  • Origination fee or commitment fee for creating the loan.
  • Points can be paid upfront to lower the interest rate on your mortgage – this may raise your closing costs but reduce the amount of total interest you pay over the life of your loan.
The amount you can borrow is determined by factors such as your debt to income and credit score (or credit worthiness). We want to make sure you can comfortably afford your mortgage payments so you can enjoy your home for many years to come. It might even be your forever home!
The annual percentage rate (APR) you get is based on a range of factors. You can find out what rate you're likely to get during the mortgage pre-approval process. Here are a few things we'll consider when offering you a great rate:
  • Your credit score and repayment history
  • Your debt-to-income (DTI) ratio
  • Your loan amount or loan-to-value (LTV) ratio
  • Your preferred loan term (shorter terms get lower rates)

VA Loans

With some exceptions, VA home loans are not one-time use options. You can continue to take advantage of the U.S. Department of Veterans Affairs program for additional homes after you've used it the first time. To get the process started, contact us at 757-877-2444.
Yes. Despite the myth that VA loans take a long time to close, the truth is they're not far off from the overall average. According to Military Times, the average time to close for all loan types is 46 days. Compare that to 49 days-on average for VA loans. Like traditional loans, the cost of the home and other factors impact how long it will take you to close on your home.
Just like any loan, there are many factors that come into play during the VA loan process. Ultimately, each person is in a unique situation that dictates how the loan gets managed. With that said, common reasons that prevent or delay VA loans from being approved include: missing files and paperwork errors, employment changes, major purchases made during the process, and military status. Call us at 757-877-2444 to check your VA loan eligibility.
When using a VA home loan, you will be responsible for the closing costs associated with your home purchase. That means the closing costs will factor into the out-of-pocket costs for purchasing your home. These costs typically add up to 1-5% of the loan amount.
VA loans are for active duty and veteran members of the military, as well as their spouses. Civilians who are or have not served in the military are likely not eligible for this program. To check your eligibility, call one of our VA home specialists at 757-877-2444.
With a VA home loan, you may be eligible for lower interest rates and better loan terms than you'd normally qualify for. Although rates still depend on your credit score and other factors, you can get an idea of what to expect by viewing our loan rates.
Similar to traditional loans, there are credit score requirements to get approved for a VA home loan. Credit score is important but it's not the only factor. Call 757-877-2444 to discuss your options with one of our experienced mortgage professionals.