Mortgage Lending Products

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Every mortgage is different just as every borrower is different. Everyone has their own unique situation when it comes to employment, income, credit, and affordability. So, there is no "One Size Fits All" when it comes to mortgage lending. This is why its so important to speak to a professional loan officer BEFORE you buy or if you are refinancing.

*Guidelines are lender specific and may be different from other lending institutions

FHA - Federal Housing Administration 

FHA loans are designed for low down-payment, and are backed by HUD and the Federal Housing Administration. 

• Down-Payment is 3.5% of sales price and must come from borrowers own funds, gift, or down payment assistance
• Minimum credit score requirement is is specific to lender (This is the middle score of all three major bureaus)
• Max seller paid closing costs are 6% of Sales Price
• Max Loan limits for 2022 are $420,680 for 1-2unit property nationwide
• FHA Mortgage Insurance required on all loans

THDA - Tennessee Housing Development Agency

As a state agency, THDA created the Great Choice Home Loan program to make homeownership available and affordable for Tennesseans of middle/moderate income. 

• Great Choice Home Loan
• 30 Year Fixed Rate Mortgage
• Great Choice PLUS Home Loan -
• Offers a 2nd loan up to 5% of the purchase price for help with down-payment and closing costs
• Both programs require attendance, either on-line or in person, of a THDA approved Home Buyer Education Course

Conventional mortgages are conforming loans that are backed by Mortgage Backed Securities. The 2 largest purchasers of mortgage backed securities are Fannie Mae and Freddie Mac. 

• 2022 maximum conforming loan limits = $647,200* for 1-2 Unit Property
• Minimum Credit Score is specific to lender
• Maximum Loan to Value = 95%*
• 5% down-payment must come from borrowers own funds and can be a gift
• Mortgage Insurance required on any loan with less than 20% down

*Conventional loans allow up to 97% on a first-time buyer program. 

*Loan Limits are specific to City and County and can vary based on the number of units