FHA is continuing its commitment to fully evaluate borrowers who have experienced periods of financial difficulty due to extenuating circumstances. Many borrowers experience periods of recession related financial difficulty and/or credit impairment resulting from unemployment or a severe reduction in income. FHA recognizes the hardships faced by these borrowers, and that their credit histories may not fully reflect their true ability or propensity to repay a mortgage.
- Manuel Underwriting Only
- Borrowers Must Have Re-established Credit For a Period of at Least 12 months After Economic Event
- Non-Traditional Credit Allowed
- Full Doc Only
- Purchase and No Cash-out Refinance Allowed
- Primary Only
- Minimum 620 FICO