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Do you have limited savings? Consider an FHA home loan that allows for down payments as low as 3.5% with a 580 FICO credit score.

See What You Qualify For

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Down Payment
As Low As 3.5% Down

 

 

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Home Qualifications
Single & Multi-Family Homes

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Competitive Interest Rates
Often Lower than Conventional Loans

 

 

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Flexible Credit Guidelines
580 Credit Score Requirement*

 

*580 minimum credit score for 3.5% down payment.

500-579 minimum credit score for 10% down payment. 

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Financing

Down Payment Assistance Programs

 

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scissors cutting moneyPowerful Benefits for First Time Home Buyers

First-time homebuyers and people building (or just starting to build) their credit scores can often benefit from getting an FHA mortgage. FHA loans are simple to qualify for and require small down payments, usually less than 20%. Many individuals with lower credit scores also qualify for an FHA mortgage.

Your FHA loan will come in a 30-year term and have fixed interest rates. You will have to buy FHA mortgage insurance if you choose this option.

Ready to start the mortgage process? Contact one of our FHA mortgage experts today to learn more about your options or get preapproved to see an estimate of what you can afford.

Get Pre-Approved

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FHA Loan Eligibility Requirements

The Federal Housing Administration (FHA) guarantees FHA mortgages and loans. This also means that the FHA insures them. Some of the requirements to qualify for an FHA mortgage include:

  • Your FICO credit score is between 500 and 579 with a 10% down payment
  • Your FICO credit score is 580 or higher with a 3.5% down payment.
  • You have proof of employment for the past two years.
  • You have a verifiable income.
  • You have the property appraised by an FHA-approved appraiser, and it meets Housing and Urban Development (HUD) guidelines.
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Get Started with Midland States Bank

If you're looking into an FHA loan for buying your first home, Midland States Bank can help. You will receive numerous benefits when you choose us for your FHA loan, including:

  • Complete guidance: We have mortgage loan originators to guide you through the entire loan approval process. They will also be available to answer your questions as you go along.
  • Digital application: Our team has a virtual application that makes it easy to apply from your mobile device, computer or tablet.
  • Quick approval: We offer low rates and fast closings for people approved for an FHA loan.

Midland States Bank has experience with mortgages, including FHA home loans. We operate locally in Missouri and Illinois with a large digital presence, providing top-quality financial services to our clients.

Frequently Asked Questions

As long as you meet the other requirements for FHA loans, any first-time homebuyer can apply for an FHA loan. You can also do FHA streamline refinance on existing loans.

An FHA appraisal is valid for 120 days. There is a possibility for a 30-day extension if you meet certain requirements laid out by the Department of Housing and Development (HUD).

No, the Federal Housing Administration guarantees the loan, but your lender provides it.

The minimum down payment for an FHA loan is 3.5% of the loan.

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How to Get Started

Ready to start the mortgage process? Contact one of our FHA loan mortgage experts today to learn more about your options or get pre-approved to see an estimate of what you can afford.

See What You Qualify For

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Estimated monthly payment for an FHA $180,000 30-year term fixed-rate mortgage with a 3.5% down payment at 7.915% Annual Percentage Rate (APR) would be $1,488. FHA loans also require mortgage insurance and mandatory escrows for taxes and homeowner’s insurance, which will increase the monthly payment. These payment examples do not include amounts for taxes, homeowner's insurance, and flood insurance (if required) and the actual payment will be greater. Payment examples are for illustrative purposes only and are subject to change.