Financing Options

FHA (FEDERAL HOUSING ADMINISTRATION)

• Requires 3.5% of purchase price down payment
• Requires lower credit score that conventional
• Buyer pays PMI (Private Mortgage Insurance) for entirety of loan
• Strict requirements regarding condition of property

FHA 203K

• Allows buyer to finance improvement
• All work must be complete by a licensed contractor
• Higher closing costs than traditional FHA loan

MSHDA ASSISTANCE

• Strict requirements regarding condition of property

VA (VETERANS ADMINISTRATION)

• Must have served in armed military to qualify
• Requires $0 down payment from buyer
• Requires seller to pay for termite inspection
• Buyer pays no PMI

CONVENTIONAL MORTGAGE

• Between 5% and 20% of purchace price down payment
• Requires higher credit score
• With 20% down payment, no PMI is required

DOWN PAYMENT PER FINANCING OPTION

• FHA: 3.5%
• CONVENTIONAL: 5%-20%
• CLOSING COSTS: Loan Origination Fees, Title Insurance, Pre-Paids for Taxes, Insurance, Inspections, Administration Fee, Closing Fee