CATEGORIES OF FHA LOAN

FHA loan was established by housing Act on June 27, 1934 with purpose of facilitating home financing, improve standard of housing and increase employment in the home-constructionindustry. Its primary functionwas to insure home mortgage loan made by banks and other private lenders, thereby encouraging them to make more loan to prospective home buyers. The FHA's approach was designed to attract support from interest groups like real estate, bank industries, which were historically opposed to federal intervention in the housing arena.FHA-secured loan later introduced the low-downso that the interested group to remain closer.it is more than obvious that many borrowers do not know that there are different categories of FHA loan. We are going to discuss five categories of FHA loans in Fortworth 

The first type is known as reverse

The veterans above 62 years are the targeted group by this reverse mortgage program. They are relieved the task of changing equity of homes into cash. They perform this task on there behalf but the veterans retain the title of the home. The veterans have two options ofwithdrawing the funds, first one is once in a month they can withdraw a fixed amount second way is withdrawing on credit basis.

203k FHA loan

It has been design in a way thatrepairs and renovation cost are included into theloan. This is a special type of FHA loan in Fortworth that lend out money for purchase of home and renovation at the same time. Many borrowers usually remain broke or financially crippled after paying down payment and this make a lot of difference in their lives.

Energy FHA loan

It is right to say this program serve same purpose as 203k FHA loan, butit’s major aim is to Lowe utilities bills at expense of upgrade. Itspurpose is to make latest installation or install new solar and even wind energy system. For a home to be considered as energy-efficient it’s operation cost must be low and installation of solar and wind energy will cut down bills leaving borrower with enough money to pay mortgage loan.

Section 245(a) 

Under this type of FHA loan in Fort worth borrowers who expect there salary to increase are the major target. Under these program, the Graduated Payment Mortgage begin with monthly payments which are lowerand   increase gradually over time on other hand Growing Equity Mortgage has programmed increase in monthly payments of principal that result in short loan terms.

Traditional mortgage

This type of mortgage loan is used to finance a primary residence mostly.

I do not see clear reason why any resident of Fortworth to be homeless even after things have been simplified to this extent.in Fortworth FHA loan exist in different types leaving you with option to choose which one test best. If you are still searching for mortgage loan the it is better you stop and consider FHA loan, it never disappoint always on run to meet your needs. Fort worth FHA mortgage loan have better terms which can be easily accepted this make it suitable option to needy borrower.