Theres an article by Kenneth R. Harney from yesterdays Los Angeles Times that highlights many of the benefits of FHA mortgages.

According to the article, applications for single family FHA mortgages through March are down 30% versus last year (it is certainly worth noting that mortgage applications are down across the board).

The FHA recently raised mortgage premiums for the second time in six months.  There are a few reasons for the fee increases.  First and foremost is the desire to bolster the FHAs capital reserves, which have dipped beneath congressionally mandated minimums.  The second reason is that fee increases are part of the overall push to have the government withdraw from the housing industry.  Some analysts believe that increases to the FHAs minimum down payment are coming:

Despite this, the FHA is still one of the best options for those with credit scores that are not pristine or those without a lot of money for a downpayment.  Those with FICO scores between 680-640 may find that the FHA is a cheaper alternative than going with a private mortgage insurer.

Total Mortgage is a fully-approved FHA lender with many years of experience doing FHA mortgages.  You can check out our FHA mortgage rates here, or call one of our licensed loan officers at 877-868-2503 to discuss our rates and products.

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