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.

Program Highlights

  • 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