What Verasol's public product information saysFHA financing may allow down payments as low as 3.5% for qualifying borrowers and may permit documented gift funds for down payment and closing costs. Current FHA and lender requirements control.
Important tradeoffs
Mortgage insurance
FHA loans generally include upfront and annual mortgage-insurance costs. Ask how they affect cash to close and monthly payment.
Property review
The home must meet applicable FHA property requirements. Appraisal and inspection serve different purposes.
Qualification
Credit, debt-to-income, income, assets, occupancy, loan limits, and lender requirements all matter.
Prepare three sets of questions
- Ask about down payment, gift funds, closing costs, and reserves.
- Ask how upfront and annual mortgage insurance affect the transaction.
- Ask about property eligibility, appraisal, loan limits, and documentation.
FHA questions
Is 3.5% down guaranteed?
No. It is a commonly published minimum for qualifying FHA borrowers, subject to credit, underwriting, lender, and transaction requirements.
Is FHA only for first-time buyers?
No. First-time status is not a universal FHA requirement, though borrowers must meet applicable occupancy and program rules.
Can gift funds be used?
Verasol's public product page says gifted funds may be used for down payment and closing costs. Documentation and source requirements apply.