Are you considering the purchase of a home? Are you struggling under the threat of losing your home? If so, consider how FHA can help. FHA loans are government-backed loans that often have a much lower interest rate than a conventional (traditional) loan. Before you right off these loans as impossible options, keep in mind that millions of people are benefiting from theme right now.

Here are five ways that FHA loans can help you to obtain the home you are looking for, or help you in other ways.

#1: Lower Interest Rates: The main benefit of FHA loans is to provide individuals with a lower interest rate. If the FHA is backing your loan, you are less of a risk to the lender. Therefore, they agree to offer you a slightly lower interest rate. This translates into an interest rate that could save you thousands of dollars over the lifetime of that loan. That is money in your pocket.

#2: Better Qualifications: Many lenders have increased their standards in lending money. If you do not have a credit score over 700, then our best bet to getting a low interest rate home loan is with the FHA loans. You do not have to have as much down to qualify for these loans either.

#3: Help Getting Out Of A High Interest Loan: Perhaps you have a high interest rate loan. You are paying much more than the current four to six percent loans that are available. FHA loans can help you to get a low rate even on refinances. Definitely, worth looking forward to since it will drastically cut the amount it costs to buy your home.

#4: You Need Help: There are a number of programs available through the FHA to help you to get out of a troublesome home loan. You can stop foreclosures and often stop your overall risk of losing your home by taking advantage of these programs. If you need this help, contact an FHA loan specialist today.

#5: You Are A First Time Home Buyer: For those who have yet to buy a home and are worried about doing so, FHA loans can help. These loans are highly affordable and they are ideal for the first time homebuyer unsure of what to do next.

FHA loans can help millions of people to get into the homes they want and need, or to protect them from losing their investment. Contact a professional today to learn if you qualify.

In the current market, if you can refinance, you probably should be. Refinancing is the process of obtaining a new loan that pays off your existing home loan. There are several reasons for wanting to do this, but the most important is to get a lower interest rate so you save money on your home loan. FHA loans can help you to refinance, as can other conventional lenders. The key here is to know when it makes sense to refinancing.

What’s Your Rate?

The first step in knowing if it makes sense to refinance is to know what your interest rate currently is. According to Bankrate.com, current 30-year mortgages are available at about 5 percent, which is a very low number. Those who wish to obtain a 15-year loan may even be able to pick up a home loan that is under five percent. If your current mortgage is at an interest rate that is higher than this, you could save money by refinancing.

Here is an example. Let us say you currently have a mortgage loan payment of $1400 per month and you owe $175,000 on your home and have another 28 years to pay on it. You are currently paying about 9 percent for the mortgage. If you keep this loan for the next 28 years, you will end up paying a total of $304,984 in interest alone, on top of the purchase price of the home.

Now, let us say you refinancing your home loan to a loan for 30 more years and pay 5.5 percent on the loan. Your mortgage payment is now under $1000 a month. At the end of your payments, you will have paid just $182,707 in interest payments towards the loan. As you can see, this is much more affordable than holding onto the loan you currently own.

You will likely need to pay closing costs and your homes appraised value still needs to be high enough to cover the mortgaged amount to qualify for a refinance. There are other qualifications you may need to make, too.

To find out if this is an option for you, get a quote from a lender. You may even qualify for an FHA loan through the refinance process. This can further lower your interest rate and make it even more affordable to buy your home. To refinance a home loan, contact an FHA loan specialist to find out if you qualify.

Throughout these pages, there are countless opportunities for individuals to get FHA loan help. You may need an FHA loan as a first time homebuyer. You may be struggling with a possible foreclosure and want to take advantage of the HOPE for Homeowners FHA program. You may need to refinance, get a lower interest rate or you may just want to buy a piece of property. In all of these situations, your first goal should be to contact an FHA house counselor or FHA loan specialist. You can do this easily right here.

Once you contact an FHA loan specialist, they will talk to you about the types of loans available, as well as what you may qualify for. To get answers quickly, be sure you have all the information and resources you need. Here are some tips:

*Know your credit score and credit history is clean. Check your credit report for errors prior to applying for a loan since creditworthiness is key to obtaining any loan.

*Have proper identification to show who you are. This includes having your Social Security number ready. Also, have the addresses of the locations you have lived over the last two years.

*Have your income information on hand. Your lender will need to see proof of income as well as the names and contact information for each of your employers over the last two years. You will need to have on hand any W2 information as well.

Once you have these items ready to go, the FHA loan specialist will talk to you about the loans available to you. They may prequalify you for the loan. This is a process of getting qualified for the loan, on the information that you provide. Once this information has verification, you will receive preapproval for a loan.

In situations where you need immediate attention, such as when you may be struggling to pay your monthly mortgage payment or when you are facing potential foreclosure, alert the FHA loan specialist. There may be opportunities to freeze the process if you can refinance. Keep in mind that you still need to meet the FHA requirements for refinancing to be able to use these programs.

If you are ready to get the FHA loan you need, contact a specialist today to request a quote. You may be surprised by just how easy it is to get an FHA loan.

There are many benefits to the stimulus bill that passed Congressed to the real estate market. One of the best benefits, according to the National Association of Realtors, which is an organization representing more than a million of the country’s real estate associates (of all types) is the benefit that some of the funds within this build are designed to help stabilize the local communities.

Why They Need Help

Like virtually everything else in the economy, the real estate market has been hard hit due to the downturn. Some blame the housing market for putting this economic downturn into play. Regardless, the failure of the markets has resulted in pain across the board. For example, so many homes have been foreclosed on in some neighborhoods that each street has one or more signs of homes for sale by banks. Some homes have simply been abandoned. They are vacant. Foreclosures and vacant homes add to the neighborhood’s increased crime rate. The problem is, some cities have had to trim back on their services and on their employees. The result is fewer police officers on the streets even though there is increasing difficulties.

Another way to look at the problem is to note what has happened to so many neighborhoods with these vacant homes in terms of property values. Property values have fallen significantly. 20, 30 or more percentage of property value has just been wiped clean. This means that those who currently own homes and wish to sell them cannot do so without taking a serious cut. Others may be forced to foreclose due to the inability to sell property.

As you can see, there is a real problem when it comes to these homes sitting on the market, unable to be sold or unwanted.

How The Bill Changes Things

One thing that the economic stimulus bill has done, is to offer cities a bit more help. The plan gives cities money to purchase these vacant properties. The city and purchase the property, clean it up and resell the property. They can also bulldoze it so that the vacant lot is less of an eyesoar in the community.

With cities being able to do this several benefits are seen. First, cities see stabilization in the real estate market. They can also see improvement in home values as these properties may not sell at a higher amount. In addition, they stop the house values from falling farther which has only made the difficulties even more difficult. Communities can finally stop the decline.

The Bill Gives More

The stimulus bill is doing a good amount to aid individuals in buying those homes, too. Now, individuals who are first time homebuyers (who have not purchased a home in the last three years) are able to get a substantial tax credit if they do so in 2009.

FHA also receives aid because now there is an increased ability to lend money since the stimulus bill has aided in creating higher loan lending limits. Overall, the benefit here is that individuals will be able to qualify to purchase a home more readily.

FHA loans are available for a growing number of people. If the stimulus bill has done anything, it is to encourage more people to buy homes. According to the National Association of Realtors, the stimulus bill could help to sell more homes. An estimated 300,000 first time homebuyers may be attracted to purchasing a home due to the tax break offered to them. Thousands more will find that funding they need through the availability of FHA loans. It is a great time to buy.

The stimulus bill, The American Recovery and Reinvestment Act passed Congress on Friday and is to be signed by President Obama on Tuesday, February 17th.  The Bill does mention the FHA, Freddie Mac and Fannie Mae, the government lending bodies. One of the things the Bill does for these organizations is to raise their lending limits. In 2008, lending limits were raised significantly to allow the FHA to step in and help more people facing foreclosure. Those levels reverted back in 2009. The Bill pushes the limits back to the 2008 level. This means more funds are available for these banks to aid those purchasing homes.

What Do New Limits Do?

There are several things that this new higher limit offers to the mortgage industry. First, by raising the limit, there is more money available to these organizations to purchase loans. This means that when Joe Smith comes to purchase a home, and would like FHA backing on that loan, he can get it because the funds are available to allow for this.

As you know, the FHA allows individuals to get a lower interest rate when borrowing money because it gives the lenders an added insurance that the loan is secure to them. If the borrower with an FHA loan fails to make payment, the property is foreclosed on, but the loan holder can file a claim with the FHA to be reimbursed some money. It works very much like an insurance policy for the lender. Because of the lessoned risk, the lender offers a lower interest rate to the borrower. In short, it aids each body involved.

There are other ways this new higher limit on Freddie Mac and Fannie Mae will. Because it does free up some of this money, more people will qualify in all likelihood for these home loans. With better qualification numbers, more homes can be purchased. People can afford to purchase a home again with the lower interest rate. In turn, more properties that have been sitting on the market or even vacant can be sold. In other words, by raising these limits, the government is aiding in reducing inventory of available housing. This will give cities back their property taxes and aids in boosting other home values throughout the area.

The overall process improves the liquidity of the mortgage market as a whole. Many economists blame at least part of the economic downturn on the failure within the housing market. By restoring some stability here, it could also help to restore some of the value in housing and the markets as a whole.

What Does It Mean To You?

As you consider the Bill and what is included in it, one thing you may want to consider is your own ability to obtain a mortgage and to purchase one of these homes. Not everyone will qualify for a home loan through this program, but far more money is available to help more people to qualify. If you have been considering purchasing a home, but where not sure if you could, or should do so, there benefits of these increased limits makes now an ideal time.

The benefits of having an FHA loan are immense and it should not be overlooked by anyone who is looking for an opportunity to buy a home. Keep in mind that you will still need to meet income and credit qualifications to obtain an FHA loan. If you have been thinking about this type of loan opportunity, take the time to talk to an FHA loan specialist to find out if you qualify for the loan.

As the Congress and President work to find a solution to the ever-growing problems of the average American citizen, one thing is certain. Foreclosures need to stop or find help. Even with FHA loans available, so many homes foreclosed on each month. The good news is that lenders are listening. Several lenders have agreed to moratoriums on foreclosures. If you own a home and feel threatened by foreclosure, by one of these lenders, you may have some breathing room:

*JPMorgan Chase & Co
*Citigroup Inc
*Bank of America Corp
*Wells Fargo & Co

Each of these lenders have agreed to temporarily stop foreclosures in the hopes that the government has help on the way for them and those homeowners who are struggling to stay in their homes. The stimulus programs being put into place have billions of dollars in them to help Americans to stay in their homes. This applies to ne foreclosure actions.

It’s Not Too Long

Keep in mind that this freeze is not a long-term process. Rather, according to Jamie Dimon who is JPMorgan Chase’s chief executive, as reported by Cnn.com there is limited time. He said, “We believe three weeks is adequate time for the Treasury to announce- and for use to implement- a new plan.” Bank of America’s freeze will last through March 6th. Citigroup has promised to hold off on foreclosures through March 12th. Wells Fargo has not set a specific date, but says that they will halt foreclosures until the government’s plan is announced.

What To Do

Are you likely to be affected by a foreclosure in the coming weeks? If so, you may want to use this time to secure different financing options. There is no immediate information available in terms of what President Obama will be outlining in his plan to stop foreclosures. Therefore, if you are at risk of losing your home, do not waste this time. Call a professional FHA loan specialist to aid you in determining what options you have.

Keep in mind that there are already several types of programs in place to aid individuals in refinancing their current home loans to get into new ones to avoid foreclosure. FHA lenders can help you to determine if you qualify for this type of loan. While President Obama’s plan is on schedule for review in the coming weeks, do not wait that long to find out if you qualify.

There is no doubt that the foreclosure numbers for the year of 2008 are staggering. According to RealtyTrac.com, a leading industry monitoring website, some 860,000 properties were foreclosed on in 2008. That number is shocking, but what is even worse to consider is what the future holds. Many of you may be included in the next few month’s foreclosure numbers, unless you take the time now to talk to an FHA loan specialist who may be able to get you out of the loan or help you to have it modified.

What’s Next?

Consider this next year. The numbers for 2008 are from throughout the year. The problem is, many of the harshest layoffs and the largest job loss did not happen until the end of the year. They are still happening in January of 2009. That means that many of these individuals, who have lost their jobs or otherwise lost income are just now getting behind on their mortgages. The foreclosure process can take six months to go through. This translates into staggering numbers for the 2009 year. These foreclosures are not likely to hit the books for another four to six months. And, with thousands of people out of work, they will be incredibly deep and painful.

There is little that can be done about a home that is deep into the foreclosure process. Yet, for most individuals the process can be stopped long before it gets to that point.

Checklist of What to Do Now

If you are facing the fact of being unable to make payments on your mortgage, here are some things to do, now.

#1: Talk to your lender to find out if they can help with loan modification. They may be able to help you to get caught up. This is especially important if you wish to keep the home and have the income to make payments.

#2: Talk to an FHA loan specialist, or someone who can help you to qualify for an FHA loan. The FHA has put together special packages and outlines specific options for those who are suffering and are behind on their mortgages.

#3: Don’t wait. The longer you wait to get help for your mortgage loan, the more difficult it will be to get caught back up.

Foreclosure is not a process you can’t stop. You can, and with some help, you may save money in the process.

A Closer Look at the Numbers

What is happening around you? Take a look at a few more numbers as they came out just a few days ago.

•    In 2008, 1.1 million people received foreclosure notices in the combined states of Nevada, California, Florida and Arizona.

•    20 percent of the 1.1 million homes that entered the foreclosure process were located in California.

What is happening where you are? If you aren’t sure, you can use RealtyTrac.com to get a better idea.

Most individuals in foreclosure today are not in foreclosure because they are irresponsible or took on bad loans intentionally. They simply are struggling, which is why so many of them are just looking for help.

Is this you? To find out if you qualify for any type of loan modification or to freeze your foreclosure, contact one of the FHA loan specialists. There is no guarantee that every homeowner can remain in their homes, but many individuals can. The opportunities available through FHA are helping thousands of people each month to stay in their homes and to avoid foreclosure. They may be able to provide you with the help you need, too.

For those who are looking for an FHA loan, you may be happy to learn that the FHA still has some great loan opportunities available for those who qualify for them. The Federal Housing Authority, or FHA is still offering home loans requiring just 3.5 percent down. This is good news to anyone that is struggling to find a loan available to them do to the numerous issues with the credit crunch.

In the traditional, conventional loan market, there is no doubt you will have a difficult time finding a home loan that does not require a larger down payment to be made. Some lenders are now insisting on down payments at 20 percent of the home’s value. Those who cannot afford this may not have an option outside of the FHA loans available.

The FHA does still have loan opportunities available, including loan programs offering 3.5 percent down. A low down payment is the critical aspect for many potential home buyers. Having 20 percent or more to put down on a house is a great way to get a low rate and it enables lenders to look at you more favorably.  After all, after you have invested that much into the home, you are unlikely to just walk away from it. Since lenders are trying desperately to protect themselves from further foreclosures and subprime loans, they are simply sticking with what they know: those who invest in a larger down payment are less likely to walk away from their homes.

Are They Safe?

One of the biggest concerns people have today when it comes to FHA loans is security. Rightly so, people want to ensure that the home loans are going to be safe to have. When you work with an FHA loan specialist, you can ensure this is the case. Most lenders accepting these loans are well qualified to do so. Even if they do fold, you are highly unlikely to lose your loan or any of your financing. Still, you can speak to the specialists to learn more about this.

How To Get An FHA Loan

Since FHA loans do allow for the much lower down payment, many people are using them as the means to get the home they want. You will need to work with an FHA loan specialist to enable you to find out if you qualify for this type of loan insurance. You can get prequalified to purchase a home within a few minutes, too. Unlike a few years ago, standards have tightened, though.

•    You will need that 3.5% down payment or more
•    You will need to have no more than 31% of your gross income going towards paying your mortgage
•    You will need to have good credit. Those with serious delinquencies on their records may not receive approval.

If your credit score is lower than 500, though, you may need to pay a larger down payment, up to 10 percent. Moreover, as with all FHA loans, you will need to pay mortgage insurance during the first years of your loan.

You can find out if an FHA loan is right for you by contacting any of the FHA specialists available. They will ask you a few questions and get information about your credit score for you. Generally, the process takes only a few minutes to work through. You can get a quote for an FHA loan, too, so you can see if this is an option for you.

If you have 3.5 percent to put down and meet the other qualifications of FHA loans, now is one of the best times to get investing.

CNN Money.com published an article today about why FHA loans are gaining popularity.  You probably already know the reasons but to sum it up: 3.5% down (try finding less than that these days), low rates, and attractive loan limits.  I highly recommend taking a look their article because it has some great FHA info and good examples as well.

The housing market is struggling nationwide. That does not mean that your local market is struggling, though. Nearly all neighborhoods in the country have seen some fall in value. Yet, this does not mean that the horrors that are happening in some areas of California and Nevada are playing out in your back yard. Your area may actually have some strengths in it right now. Many markets are stable and many others are on the rise.

Before you right off the current condition to be too risky to invest in a home loan, find out what is happening in your local area. There are a variety of online appraisal websites that can give you a free estimate (which is not always 100 percent accurate, but close) to help you to see what is actually happening in your market. It may be that your area has just what you need: well-priced homes and affordable mortgage prices.

Contrary to what many people believe, there are still mortgage loans available to those who are qualified to get them. Does this mean you have to have a credit score in the 800’s to qualify? No. Those with scores much lower will qualify. To find out if you qualify, consider the following:

• Do you have steady employment?
• Do you have excessive debt: if so, you may not qualify if your debt is too high compared to the amount of money you are bringing in each month.
• Do you have a down payment: Down payment amounts are much lower for FHA loans, but some money to put down is necessary.
• Do you have good credit or better: Those with very low credit scores may not qualify for a home loan right now.

To find out if you qualify, it is best to talk with an FHA loan specialist one on one. They will help you to determine not only if you qualify but how much of a home you can purchase, the cost of a monthly mortgage payment, and the current interest rates available. It is highly recommended that you consider FHA loans since they are more affordable and they often cater to a wider array of home loan borrowers.

The local housing market and loan market is really the only concern you should have in terms of buying and selling property right now. While the big picture may seem dark, there are plenty of bright spots under that dark cloud. These are mainly average neighborhoods dotting the country and often are great places to call home.