Are federal loan programs right for you?

FHA Loans
FHA loans are made through an approved lender and insured by the Federal Housing Administration. They are a great fit for buyers with low to moderate income and limited savings. The loans offer down payments as low as 3 percent and have flexible income, debt and credit requirements to help qualified borrowers. In addition, FHA loan down payments and closing costs may be funded by a gift, grant or secured loan. Other features of FHA loans that may help you include the choice of predictable fixed-rate payments or adjustable-rate products and the ability to assume over the seller's existing mortgage, including the interest rate, if it is to your benefit. Just this year FHA loan limits were expanded. Ask a mortgage consultant about additional details.

VA Loans
VA Loans are made by an approved lender and guaranteed by the Department of Veterans' Affairs. Qualified veterans, army reservists, active duty service members are eligible for VA loans (check with your regional VA office to see if you are eligible). These loans feature low or no down payments, debt, income and closing costs guidelines. Qualified buyers can purchase with little or no money down and get home financing even with less-than-perfect credit history.