If you don’t have a clue on what a FHA loan is, it’s basically a mortgage insured by the Federal Housing Administration (FHA) where the borrower pays for mortgage insurance, protecting the lender from a loss if he defaults on the loan.
The main reason FHA loans in Texas are an attractive option is that they come with great interest rates and less stringent – more flexible qualification requirements.
Texas is the second largest and second most populated state in America. On top of that, it is known for the major oil discoveries dating back to the early 1900s – but also the current presence of more Fortune 500 companies than any other state. That makes Texas a leader in energy, electronics, electronics, aerospace, biomedical science as well as agriculture. And yes –
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The less-than-perfect credit is OK
You only need a credit score of 580 or higher to apply for a FHA loan in Texas. If your credit score is between 500 and 579, your down payments must be at least 10%. If it is under than 500, though, you are generally ineligible for Texas FHA loans.
2. The minimum downpayment is only 3.5%
This is one of the most attractive aspects when it comes to the FHA loans in Texas. And when you see that it was reduced from the 10% until 2014, you can see that it is a big advantage to any borrower.
Using your own savings to make the downpayment is also a possibility – including ‘gifts’ from family members or grants from the state or local down-payment assistance program.
3. The FHA allow concessions to cover some of your closing costs
The FHA loans in Texas work with a coverage to home sellers, builders and lenders whenever it comes to the closing costs such as credit reports, title expenses or appraisals. For example, a builder might offer himself to pay the closing costs as an incentive for the borrower to buy a new home. FHA loans allow up to six percent (6%) in Seller’s concessions to the buyer’s closing costs and prepaid items.
4. Your Lender must be
A major funding agency that home buyers should take advantage of is the Federal Housing Administration, also known as the FHA. FHA provides mortgage insurance on housing loans that are funded by FHA approved lenders. The FHA will insure loans on single and multifamily homes located within the U.S. and its territories. The Federal Housing Administration is known worldwide for being the largest insurer for residential loans.
The rates used for the FHA 203k loan are very close to the rates used for a typical FHA mortgage.
The Lone Star State is the state of opportunity. In fact, this state was able to go against the forceful current of the recession of the past years by providing jobs, when other states could not. For instance, businesses have been able to prosper and grow, assuring stability to many people and their families. Additionally, Texas is one of a few states that have avoided the temptation of an income tax (Price n. pag.). Such strategy has been one of the reasons for its reputation among the fifty states.
Those involved in the mortgage lending process have some duty to the borrower. They are expected to perform their specific duties in an ethical manner and have some form of direct or indirect contact with the client. Banks (Prime Market): Banks are lenders who generally handle all facets of the lending process through their own institution. They function differently from brokers in that they usually only service those clients with good credit ratings/scores of 700 or more. Mortgage Brokers (Sub-prime Market): According to HUD, the Department of Housing and Urban Development, mortgage brokers are involved in about sixty percent of all mortgage loan transactions. Brokers try to find the best loan for their clients by shopping their loan applications around to lenders who are willing to accept the clients credit package. Brokers generally service clients, known as B-C-D credit clients, with ratings/scores of 650 and below. In some instances, a major problem for borrowers is that a broker may work in the best interest of the lender as well. Furthermore, in some states they can act as brokers and lenders. Brokers can be considered dual agents. Brokers (1) originate loans using “table funding” provided by a pre-arranged buyer of the loan (2) originate loans using a line of credit from a bank/financial institution (3) originate loans using their own funds (4) bring the borrower and lender together in a transaction that they do not originate. Real Estate Agents: In most cases, Realtors refer borrowers to a lender or mortgage broker. They are paid a percentage of the sales price of a home. The seller pays a Realtors fee. Closing Agent: Closing agents perform property title searches and prepare documents for the actual closing of the sale of a home. Most closing ...
Texas is one of the seven states that have no state income tax. This means the state does not impose an additional state income taxes on someone’s earnings, but there is still a federal income tax. While many claim this is beneficial to all of Texas citizens and promotes population growth others find it disadvantaging. Their is many disadvantages and advantages to not having a state income tax.
Texas the second largest state in the nation has seen a boom in its population over the past decade, which presents both challenges and opportunities for state politicians, such as creating and modifying the state’s current water plan. Texas’ population growth was only second behind California with an increase of 4.3 million people between 2000 and 2010. (Tannahill) The increase in the state’s population growth rate is due to both a natural population increase, whereby live births exceed deaths, and immigration. Compared to the rest of the nation Texas has one of the lowest cost of living expenses in the nation, making it an affordable and attractive option for immigrants from all over the world. Although, most people would see the lower cost of living as a valuable resource, it also has a draw back. Texas which shares a border with Mexico has the largest Stretch of Border between the United States and Mexico. The United States and Mexico border is more 1,900 miles long, in which Texas has more than 1,254 miles...
Tourist flock to the state primarily for its beautiful beaches, year round warm weather and variety of theme parks. Walt Disney World’s theme park alone receives more than 47 million visitors annually, making it the most visited theme park in the world. Also, Florida offers some of the best charted boat fishing trips in the nation that attracts huge numbers of anglers from around the world. The city of Miami is a hot spot for tourist due to its beaches, art-deco scene and famous nightclubs, it’s nicknamed “Hollywood of the south”, where more films are produced and more movie and music stars are beginning to call home. Compared to Florida, Texas recreational activities ranges from visiting historical landmarks, exploring canyons, caves and museums. The states most popular attraction is “The Alamo” which is located in San Antonio and draws more than 2.5 million visitors annually. The advantage Texas has over Florida is if you don’t like what’s in Texas you can travel elsewhere, being that the state borders New Mexico, Oklahoma, Arkansas, Louisiana, and Mexico. Florida only borders Georgia and Alabama, but it’s within close proximity to more Caribbean Islands than any other U.S.
My first experience with Texas was around 1983 when I visited the state. I was traveling quite extensively at that time and most of Texas was included in those travels. I had previously been in several other states in our nation but none seemed to compare to the great State of Texas. Things were just different in Texas. The people were different, the culture was different and the image of Texas, portrayed by the people, past and present is equal to no others.
When one thinks of natural resources, probably the first things that come to mind are fossil fuels. If you bring the state of Texas into the equation, you think of the big oil wells. Texas tea, black gold, swamp juice, whatever you want to call it, oil is a big part of people's perception of Texan natural resources. But there are a lot more natural resources in Texas than you might think. The natural soils make for good farming and ranching conditions, we've got great rock deposits for a variety of industrial uses, and we have a number of different mineral deposits scattered through the state. It's time we took a look at some of the many natural resources Texas has to offer.
To conclude, California and Texas are constantly being compared. Clearly, they have differences and similarities between each other. Welfare and taxation system differ, when level of crimes and education system are alike. California is a beautiful place with perfect climate located on the coast of Pacific Ocean and many sightseeing which attract tourists from all over the world. Meanwhile, Texas does not have a good clime conditions or gorgeous places to attract visitors. However, California is to visit, Texas is to live.
Buying a home is more complex then most think. A purchaser of a home doesn't pay in cash when buying a house. If that were so, then nobody would be able to afford one. A potential buyer must get a loan. The bank doesn't lend their money to just anybody, so there are prerequisites before a buyer should consider buying a home. The potential buyer must have enough money for a down payment which is 3% to 20% of purchase price, a steady job with for at least two years or more, must have a decent credit score with at least a 640 or better. That is standard for the market. (1) The credit score is based on the FICO score. FICO stands for, Fair Isaac Corporation, a company that has been in business since the early 1950's and monitors consumers' credit ratings and put a scoring system on it. (2) Conventional loans are usually financed up to eighty to ninety percent with a down payment required of ten to twenty percent. The potential buyer must also have a debt ratio not exceeding 28/39 of their income. The first number 28 refers to your new mortgage payment that cannot exceed 28% for your gross combined income and 39 refers to your mortgage payment plus revolving and installment debt as well as taxes and insurance cannot exceed 39% of you total combined gross income (3).
I live in Texas, and I enjoy it very much. I drive a car to school and the grocery store is one minute away from my house. Although, stories and movies depict life in Texas much differently. In almost every story that incorporates Texas in the setting, they
Have you ever been to Texas? I have been once. My trip to Texas was unbelievably awesome. I saw many of things on my way there. While we were there, I had loads of fun. Many things happened while we were there. Texas was the coolest place I have ever been.
Lenders want to know you can afford the mortgage. It doesn't matter if you're a student as long as you can afford it and are a good bet when it comes to repayment. You must meet the same lending criteria that every other buyer meets for the loan. Lenders will require a down payment of approximately
Home loans, or mortgages, use a borrower's home for collateral. This home can be a single-family house up to four-unit property, as well as condominium or cooperative unit. Lenders fund home loan, but both the lender themselves and broker who act on behalf of the lenders originate.