Duplex Buying a home is one of the biggest decisions that you will make in your life and with all of the available mortgage deals, you may be wondering “Can you Buy a Duplex With an FHA Loan?” If you own a duplex but do not have a traditional mortgage then there is no need for you to worry about this. The Federal Housing Administration has made it possible for individuals with mortgage loans to qualify for a FHA loan which is basically a mortgage with a reduced down payment requirement and no closing costs.
This is great news for those who own homes with little or no equity. These loans are backed by the government and they offer many perks such as a lower interest rate and more money down. This is because the FHA does not look at a person’s credit history. They simply look at the income and assets of the person applying. They do not even look at if the applicant will pay off their loan. This makes them ideal for first time homebuyers, people who have had financial problems in the past and even for people who have defaulted on their loans.
A FHA loan is guaranteed by the federal government and you will not have to pay down any of your debt in order to receive this loan. This will save you a lot of money over your lifetime because you will not have to pay monthly payments for your loan. Your monthly payments can go up to just $13. You will also be able to find the home of your dreams much faster because the money you save on your home mortgage will allow you to find a home much sooner.
Even if you have bad credit you can still get a duplex loan. One of the requirements is that you will have to own a home and be able to prove that you will be able to make the monthly payments. This is a low requirement for most borrowers but it does depend upon the lender and how much of a risk they feel that a borrower might pose to them.
You can even use a FHA loan in order to buy your first home. This is a mortgage that is backed by the Federal Housing Administration and it has a very low interest rate compared to most traditional mortgages. This will make your monthly payments lower and you will never have to pay more than the interest. A few years down the road you can refinance to a conventional mortgage and use the FHA money to pay off the loan and closing costs completely. This is a great way to get a lower monthly mortgage payment and save money each month.
Even if you have less than perfect credit you can still qualify for a Duplex with an FHA loan. It is important to remember that these loans are not easy to get and you will need to put some work into qualifying for one. If you can get approved for this type of loan you will be able to afford your new home and be able to remodel it yourself and sell it in no time at all.