Are you planning to buy a home in Ohio but struggling with the down payment? FHA loans can help eliminate the need for a large down payment.
With only a 3.5% down payment, Ohio FHA loans offer a great opportunity for homebuyers to fulfill their dream of owning a home. In this post, we will discuss the benefits of Ohio FHA loans, and the possible down payment assistance programs available for Ohio homebuyers.
Benefits of Ohio FHA Loans:
One of the significant benefits of Ohio FHA loans is that they offer low down payment options. With only a 3.5% down payment, homebuyers can purchase a home, even if they do not have a lot of cash reserves. This is especially helpful for many first-time buyers in metro locations like Cleveland, Columbus, Cincinnati, Toledo, and Akron as it provides the opportunity to become a homeowner without the burden of a large down payment.
Additionally, FHA loans have lower credit score requirements, which makes it easier for buyers to qualify for a loan. Besides, FHA loans offer competitive low interest rates, which means that homebuyers can save a considerable amount of money over time. Please learn more about all the FHA Loan Details here.
Ohio 2024 FHA Loan Limits: Purchase & Refinance
According to the 2024 FHA mortgage limits, the maximum loan amount for a single-family home for most counties in Ohio is $498,257. This is for a single 1-unit property, multiunit properties like 2-4 plex are even higher.
A handful of counties in central Ohio & Columbus MSA like Franklin, Fairfield, Delaware, Hocking, Licking, Madison, Morrow County, Pickaway, Perry, and Union County have even higher limits of $546,250.
Ohio Down Payment Assistance Programs:
Several down payment assistance programs are available for Ohio homebuyers. The Ohio Housing Finance Agency (OHFA) offers several programs, including the Homebuyer Assistance Program, the Grants for Grads Program, and the Ohio Heroes Program. These programs are designed to help first-time homebuyers, veterans, and other eligible homebuyers with the down payment and closing costs.
*Please note, the funding and availability of these down payment assistance programs can change throughout the year. Please connect with us today to learn about the current options available.
FHA also permits the home seller to pay the buyer’s closing costs. Closing costs and pre-paids escrows for things like tax and homeowners insurance reserves can add up to 2-5% of the purchase price. This is in addition to the minimum 3.5% down payment. So it’s good to know the buyer can receive concessions from the home seller for this cost.
Ohio FHA loans offer a great opportunity for homebuyers, especially those who are struggling with the down payment often required by conventional loans. With only a 3.5% down payment, homebuyers can purchase a home, even if they do not have a lot of cash reserves.
Furthermore, FHA loans have lower credit score requirements and offer competitive interest rates, making it easier for buyers to qualify for a loan and save money over time. If you are planning to buy a home in Ohio, be sure to explore the available down payment assistance programs.
FHA Streamline & Cash-Out Refinance:
As interest rates start to decrease, the refinance options are becoming popular once again. FHA offers a streamline refi option to Ohio homeowners looking for a simple interest rate reduction. In addition, homeowners that have equity can explore cash-out refinance options up to 80%-85% loan to value. The cash-out refinance program can be helpful for borrowers looking to consolidate debt, or finance needed home improvements, etc.
Please connect with us 7 days a week to learn more or start your application. Please call the number above, or just submit the Info Request Form on this page.