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Rainmaker
1,881,248
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

Uh oh, splitting hairs now.

FHA is a loan insured by FHA/HUD. It is a different type of loan compared to CONV or VA.

Do you know which would be better for your buyer to use?

Do you know why most people have to use an FHA loan?

That's where the answers are.

Feb 22, 2019 05:39 AM
Rainmaker
3,417,775
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

YES, the bank or mortgage company still originates the loan, but it is insured or backed by FHA. The buyer pays a mortgage insurance fee as part of the closing costs for that insurance or backing of fha.

Feb 22, 2019 04:41 AM
Ambassador
6,854,086
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

YEs FHA is the organization that backs the loan.

Learned what FHA was well over 45 years ago when my parents went for an FHA loan to finance their farm.

Feb 22, 2019 01:05 AM
Rainmaker
1,126,373
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

Yeah, FHA is a government agency who among other things insures home loans. You should go see!

https://www.hud.gov/program_offices/housing

Feb 22, 2019 05:31 AM
Ambassador
5,625,696
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

You are understanding correctly, Andrew!

Feb 22, 2019 05:14 AM
Rainmaker
682,806
Buzz Mackintosh
Mackintosh REALTORS - Frederick, MD
“Experience, reliable, leadership”

Both FHA & VA are Government loans

Feb 22, 2019 04:15 AM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

Did a little deeper and find out WHO actually does put the money on the table for the OVERWHELMING number of home mortgages.

 

Feb 22, 2019 03:54 AM
Rainmaker
5,245,835
Richard Weeks
Dallas, TX
REALTOR®, Broker

You got it.

Feb 22, 2019 06:55 AM
Rainmaker
2,235,596
Anthony Acosta - ALLATLANTAcondos.com
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

You are correct.

Feb 22, 2019 09:42 PM
Rainmaker
1,556,050
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Loving the original questions!

Yes, FHA is a loan that is insured by the feds.  It has a different set of qualification requirements than conventional loans (often easier) but the home needs to meet a certain set of criteria.  The way I see it is that FHA needs to be basically move-in ready with minimal work and VA needs to be move-in ready with no work to be done.  Essentiall all homes (99%) qualify for conventional financing, but not all will qualify for FHA and fewer for VA.

Feb 22, 2019 09:05 AM
Rainmaker
1,514,605
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

You are on the right track, Andrew Cooper 

Feb 22, 2019 08:03 AM
Ambassador
3,468,935
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

Correct - but there is much more to it than that.

Feb 22, 2019 07:27 AM
Rainmaker
2,607,535
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

I like Lyn Sims answer.

Feb 22, 2019 07:14 AM
Rainmaker
1,345,002
Peter Mohylsky,
Property Management International-Destin - Inlet Beach, FL
Call me at 850-517-7098

FHA is an acronym that could be a bunch of stuff

Feb 22, 2019 04:11 AM
Rainmaker
5,645,181
Wayne Martin
Wayne M Martin - Oswego, IL
Real Estate Broker - Retired

The lender is the source of funding. The FHA insures it!

Feb 22, 2019 03:49 AM
Ambassador
2,403,319
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

What Bob Crane said.

Feb 22, 2019 02:42 AM
Rainer
108,116
Scott Lawson
America's Home loans - Santa Rosa, Petaluma Mortgage Broker - Santa Rosa, CA
Mortgage Broker FHA, VA, refinance or purchase

Yep, fully insured by the US Government. Because of the insurance, there is virtually no risk to the lender which is why FHA loans carry a lower interest rate than other products. It's always good that the buyer/borrower be shown all options that they qualify for and let them make the final choice...

Feb 22, 2019 01:05 PM
Rainmaker
8,330,839
Roy Kelley
Retired - Gaithersburg, MD

You have some good answers. 

Feb 22, 2019 11:05 AM
Rainmaker
5,585,849
Barbara Todaro
Retired...Mentoring Newbies - Franklin, MA
Previously Affiliated with The Todaro Team

Kenneth J. Jones gave you the history and details of FHA....

Feb 22, 2019 08:14 AM
Rainmaker
5,774,223
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Andrew.

Many good answers here.  A

Feb 22, 2019 06:38 AM
Rainer
425,993
Caroline Gerardo
Licensed in 20 states - Newport Beach, CA
C. G. Barbeau the Loan Lady nmls 324982

A FHA approved Mortgage banker or bank starts the loan, closes the FHA loan which is sold on the secondary market, Federal Housing Authority under HUD INSURES the loan

Feb 22, 2019 03:51 PM
Rainmaker
5,479,130
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Real Estate Broker

You received a number of good responses here.

Feb 22, 2019 11:53 AM
Rainmaker
6,115,288
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

FHA is a government agency, and offers loans.

Mar 07, 2019 05:12 PM
Rainmaker
4,434,277
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Yes.

Feb 24, 2019 06:51 AM
Rainmaker
5,363,205
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

The government is involve 

Feb 23, 2019 02:31 PM
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