When you are out searching for the home of your dreams, it is possible that you are going to run across a lot of people telling you it’s best to go with FHA mortgage loans in Chicago. For those who don’t know, FHA loans are loans insured by the government and backed by the Federal Housing Authority. In many cases, this type of loan is the best hope for a borrower to get the home they want and deserve. Read on below for the few of the top benefits of applying for an FHA loan for your home.
A Lower Down Payment
FHA mortgage loans in Chicago are going to require less of a down payment than most traditional loans do. Traditional loans usually require between five and ten percent, whereas FHA loans often require as little as three percent down. Having a low-down payment often helps to buy the home and start building equity in the home sooner. This is something that you might want to consider, especially since this is your first home. The lower, the better on the down payment.
Better Interest Rates
FHA loans are known to have better interest rates as well. Since the FHA offers the same interest rate for everyone, you don’t have to worry about your interest rate being higher based on your credit score. This gives people with less than great credit the chance to buy a home, just like people with excellent credit can.
These are just a couple of the advantages of FHA mortgage loans in Chicago. From lower down payments to better interest rates, for many potential homeowners, this is the best loan to apply for. For more information, contact the loan officers at Inlanta Mortgage for help with all your mortgage loan needs.