Why Consider FHA Financing?  If you're exploring your options as a first-time homebuyer or looking for a flexible mortgage solution, an FHA loan may be the right fit. Backed by the Federal Housing Administration, FHA loans are designed to make homeownership more accessible for qualified borrowers.

Key Benefits of FHA Financing:

1. Low Down Payment Options -  FHA loans require as little as 3.5% down, which can be gifted by a family member. This makes it easier to purchase a home without needing to save for a large upfront investment.

2. Flexible Credit Requirements -  Borrowers may qualify with credit scores as low as 580 (or even 500 with a higher down payment). FHA loans also consider nontraditional credit sources—such as rental history, utility payments, or phone bills—when no traditional credit score is available.

3. Family Gifts Allowed - Immediate family members can help by providing the full down payment as a gift, subject to documentation guidelines.

4. Tolerant of Past Credit Challenges - FHA guidelines allow for medical collections to be excluded from underwriting consideration, and recent credit events may be considered with proper explanation and re-established credit.

5. Mortgage Insurance (PMI) is Required - FHA loans include a monthly mortgage insurance premium (MIP), which helps protect lenders. While MIP is typically required for the life of the loan when putting down less than 10%, borrowers may refinance into a conventional loan later to remove mortgage insurance.

6. Competitive Loan Limits in Washington - FHA loan limits vary by county across Washington and are adjusted annually based on local housing prices. In many areas, loan limits provide sufficient room for financing modest to mid-range homes. 

7. Near-100% Financing Possibility - With seller credits, gift funds, and allowable contributions toward closing costs, FHA loans offer one of the closest paths to 100% financing available in today’s market.

8. FHA-Approved Condominiums - You may use an FHA loan to buy a condominium—so long as the development is FHA-approved.

9. Good Neighbor Next Door Program - Law enforcement officers, firefighters, teachers, and EMTs may be eligible for significant discounts on home purchases in designated areas through HUD’s Good Neighbor Next Door program, combined with FHA financing.

Thinking About FHA Financing? - We’re here to help you understand if FHA is the right option based on your goals, credit profile, and available funds. Whether you're buying your first home or returning to the market, our experienced mortgage professionals can guide you through the process.

Call us today for a no-obligation consultation or request more information using our contact form.


Pacific Coast Financial LLC

Lic# MB 78982

1329 N 47th St # 31045
Seattle, WA 98103