Anybody have experience with FHA loans? I was thinking of potentially using an FHA loan as an opportunity to househack a multi-unit property, and had the following questions on the subject:
1. How can you see how much of a loan you are qualified for? Is the amount dependent on the type of property you are interested in buying (single family vs. multi-family) and the area you are looking to purchase in?
2. How long does it typically take to get approved and receive an FHA loan?
3. What kind of interest rates do you have to pay on the loan?
4. What is the MIP payment?
Any information on the subject would be a huge help! Thank!
Reach out to a few local lenders, they will be happy to help you out. Be sure to talk to them about 3% down conventional loans, because FHA loans are notoriously difficult, and sellers will prefer a conventional over an FHA, because the FHA appraisal requires the seller to fix little things like peeling paint, broken window panes, loose handrails, etc. while conventionals typically do not.
Some borrowers are approved for a higher loan amount through FHA than conventional, but I believe the MIP is generally higher.
Also, this is something your agent should be helping you with. If you don't have one, get one.
@Jake Hartnett Thanks Jake, appreciate the response. I will reach out to a lender to get more information from them!