We’re pleased to announce we’ve LOWERED our minimum
credit score requirements for FHA and VA borrowers!
Effective immeditately, RMS has lowered the minimum FICO credit score requirement for borrowers looking to finance their homes using the FHA mortgage* or VA mortgage loan programs. The minumum FICO credit score for these applicants has been reduced to 580.
* This does not include 203k or FHA renovation loans.
What is the FHA Mortgage Loan?
FHA stands for the Federal Housing Administration, which is part of the U.S. Department of Housing and Urban Development (HUD). The FHA loan program is available for FHA-approved lenders to offer a variety of financing options to their clients.
If you’re planning on buying a home, the FHA loan program may be an ideal option for both first time home buyers and repeat buyers alike. With only a minimum 3.5% down payment needed, and lower credit score requirements than other loan programs, these government insured mortgage loans have guidelines designed to help borrowers to afford home ownership.
For current homeowners looking to refinance their FHA home purchase, the program offers a streamline refinance option.
Another great feature of the FHA mortgage program is that it offers a rehab mortgage, also called a ‘203K mortgage,' for both purchase and refinance home loans.
A FHA rehab mortgage can help when you are:
- Planning to purchase a home with repair contingencies
- Looking for a cost effective way to repair or improve your current home
- Rehabilitating a neglected or damaged foreclosure (within FHA eligible repair guidelines)
If you’re looking for a home mortgage to help restore a property or have limited funds for a down payment, let an experienced mortgage lender help determine if a FHA loan is the right option for you.
What is the VA Mortgage Loan?
The VA loan program is designed to help eligible Veterans, National Guard, Reservists and Surviving Spouses become homeowners. Home loans guaranteed by the VA do not require a down payment or mortgage insurance, saving eligible borrowers money both monthly and at the closing table.
Eligibility benefits can be used for a home purchase or refinance and may be used more than once! Eligibility requirements for a VA loan are based on:
- Length of Service or Service Commitment
- Duty Status
- Character of Service (determination of discharge conditions)
What does this mean for you?
If you have held back from trying to get a mortgage in the past because you knew your credit history wasn't perfect, this new minimum may open the door for you to make a fresh start in home ownership. Reach out to a loan officer to discover whether an FHA home loan may work for you. If you are active duty military, a veteran or military spouse eligible for a VA home loan, your loan officer can help you to understand your eligibility and look at what mortgage options you have available.
Natural Disaster Alert:
RMS Disaster Services:
If you are affected by Hurricane Irma and have an active loan in process, please contact a RMS loan advisor at: 1-844-505-3917
- Our loan advisors are here to help, Monday through Thursday 8am – 8pm, and Friday 8am – 6pm, EST
Who should I call?
- If you have an active loan in process, please contact your RMS Loan Advisor directly or call us at 1-844-505-3917
- Our loan advisors will work with you to extend timelines and schedule a post disaster inspection if necessary
- The Federal Emergency Management Agency. You can register with FEMA in person, online, or via phone by calling 1-800-621-3362
- FEMA offers grants to cover the gaps between insurance and SBA loans for things such as home repairs, temporary rent, and other items
- The Small Business Administration
- The SBA extends loans to replace or repair your primary residence whether you are renting or currently own a home
- Your homeowners insurance company, in addition to your flood insurance company, if this applies to your situation
- Your current mortgage servicer
The house I was purchasing was damaged or destroyed. What do I do now?
Please contact one of our RMS Loan Advisors at 1-844-505-3917. We will work with you to assess property damage and required repairs
RMS is committed to delivering a great customer experience with every customer in every transaction. Our team is here to help those customers and communities affected by Hurricane Irma get through this trying time.
We will work to ensure support and assistance is provided around relief efforts.