How to Get an FHA Loan in Washington
The Federal Housing Administration (FHA) is operated under the U.S. Department of Housing and Urban Development (HUD). The FHA does not offer loans itself, but instead insures loans offered through FHA approved lenders. FHA backed loans also allow buyers to enter a home with a lower down payment. In Washington State, FHA loans are offered according to national standards. However, there are specific varying loan limits for each state and each county within Washington state. By searching for a home with FHA guidelines in mind, you go into the loan process more prepared and ready to buy.
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Instructions
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Construct a monthly income and expenditure report. Write down your gross income, your credit card payments, car payments and the sum of other regular monthly expenses. Salary, bonuses and tips can be recorded as income while child support, alimony and student loan payments should be recorded as other expenses.
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Visit the Ginnie Mae website, a HUD recommended resource. Click on "Homeownership" and then "Affordability calculator."
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Input your gross income, minimum credit card payments per month, car payments and other monthly obligations. Click "Get estimate. The next page presents loan amounts you could receive with an FHA, a VA loan and a conventional loan.
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Print this page or write down the loan totals presented as an estimate of your maximum loan. FHA must consider the total monthly mortgage amount you are capable of paying when you apply for a loan. To help minimize the possibility of a loan default, FHA will not extend a loan over your maximum.
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Verify that the home you want to purchase with an FHA loan does not exceed the loan maximum for your Washington County. The HUD website maintains a database of FHA mortgage limits for each state and county.
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Contact an FHA Lender and make an appointment. The HUD website maintains a list of FHA lenders throughout Washington State. Bring your W-2 forms from the previous tax year or your complete income tax return if you were self-employed as well as paperwork related to your monthly expenditures.
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Provide the lender with all information requested including Social Security numbers for you and your spouse, your current address and employer information. Be prepared to pay for a property appraisal for the home you wish to purchase and for a credit report.
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Wait for the appraisal. An FHA approved appraisal assesses the property and report his findings to the underwriter. The underwriter considers the assessment and your eligibility and then either approves the loan, requests more information or rejects the loan.
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Provide additional verification or information if it is requested of you by the underwriter.
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Review and sign the loan documentation. Bring a cashier's check to pay your down payment and closing costs. The lender then examines the loan and arranges for funding.
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