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Fha Or FHA: What Is My Credit Good?

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Currently, the two most common mortgages are conventional and FHA. FHA is nothing more than a big insurance program for lenders. FHA is not lending you any money, they are just insuring the lender that you are obtaining your loan through against default.

When choosing between an FHA and conventional mortgage you must ask yourself a few questions....

Is my credit good? Even though the minimum credit score requirement on a conventional mortgage is 620, there are extra fees charged to you if your credit score is below 740 and if your down payment is less than 25% with loan terms greater than 15 years...ouch! PMI (private mortgage insurance) also comes into play on conventional. Similar to FHA, the PMI policy is required on a conventional mortgage

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