FHA vs. Conventional 2017-05-16T15:45:30+00:00

What Are The Differences Between An FHA – & A Conventional Loan?

FHA

  • Price Adjustment: Minimal
  • Down Payment: Can Be All Gifts
  • Assumable: Yes
  • Loan Limit: $729,750
  • UMIP: 1% Of Loan Amount
  • Occupancy: O/O Only
  • Condo Approval: HUD Approved
  • Foreclosure: 3 Years
  • Shortsale: 3 Years
  • Bankruptcy:

    • Chapter 7: 2 Years.
    • Chapter 13: Current
    • made 12 Month Payment to BK Court.

Conventional

  • Price Adjustment: Adjusted for each 20 Fico Pts.
  • Down Payment: Min: 5% of Borrowers Funds
  • Assumable: No
  • Loan Limit: $625,500
  • UMIP: None
  • Occupancy: O/O, 2nd Home, Investment
  • Condo Approval: Lender Approved
  • Foreclosure: 7 Years/3 yr. For Extenuating Circumstances.
  • Shortsale:

    • 2 Years: Max LTV = 80%
    • 4Years: Max LTV = 90%
    • 7 Years: LTV can be larger than 90%
  • Bankruptcy:

    • Chapter 7: 4 Years From Dismissal Date
    • Chapter 13: 2 Years From Dismissal Date