Maryland FHA Loans for Debt Consolidation. Cash for Home Improvements, Retirement by Tim Marose

www.tmmortgagegroup.com

The Federal Housing Administration (FHA) has been helping homeowners finance their dreams for over 70 years. In the early part of this decade, FHA was pushed aside for "sub-prime" loans. The "sub-prime" program provided loans to homeowners with questionable credit, or difficulty proving income. Most of these loans were adjustable rates and offered to homeowners without a clear understanding of the program. Many times, homeowners could not afford the payment when it adjusted.

This is a large part of the problem we are seeing in the mortgage industry today. Many of these "sub-prime" loans have adjusted in the last year, and house values have decreased in many parts of the country. Many homeowners were told that they could easily refinance in the future once the value of their homes increased, and their credit situation had improved. One big problem….Houses have gone down in value in most parts of the country!

FHA is now the solution for millions of Americans once again. An FHA loan is insured by the Federal Government. This simply means that if a borrower defaults on the loan, the government will insure the lender. This allows lenders to be more aggressive with their rates, along with the amount of money you can borrow against your home. Right now, FHA will allow a loan at 97% of the appraised value.

Rates on FHA loans are very good and may be a viable alternative for many homeowners. Some loans can be approved with a score as low as 500 and are available for first time homebuyers as well as refinance customers. Borrowers can use funds for debt consolidation, cash out, retirement, and a variety of other options.

To find out more about FHA loans and eligibility requirements, go to www.tmmortgagegroup.com or call me today at 1-800-696-1424.