Oregon Bad Credit Mortgage Lenders

Oregon has always held a strong draw for people wishing to make a fresh start and a good life for themselves. The state is still largely untouched, with many wilderness areas and national parks. People come to Oregon looking for a genuine and reliable place to live, and usually start a family. Oregon consistently ranks high in many “Top Ten places to live” lists.

Thankfully, for people looking to join the move to Oregon, new insurance and mortgage availability has recently opened up. Now a much greater number of homebuyers residing in ten Oregon counties may be eligible for FHA insurance on their mortgages and home improvement loans under new mortgage limits released October 12 by the U.S. Department of Housing and Urban Development.

FHA loan limits recently increased in Clackamas, Clatsop, Columbia, Deschutes, Jackson, Josephine, Lane, Lincoln, Multnomah, and Yamhill counties in Oregon, opening wider access for home buyers. Increases ranged from a low of 1 percent in Lincoln to a high of 16 percent in Clatsop. Counties in the Portland-Vancouver area increased 15 percent. All this translates into greater purchasing power for those looking to buy a home.

The type of home is hardly restricted, FHA insured loans can be used to buy or refinance one to four-unit homes, condos and manufactured homes. Many homebuyers are attracted to FHA-insured loans because of the program’s benefits: a three-percent down payment, which can be 100% gifted from an acceptable source, the liberal underwriting criteria, considered market rate interest, and consumer protections. Current home owners looking to move are in luck as well, as FHA loans are not restricted to first-time homebuyers.

Additionally, the increases will also benefit senior citizens who qualify for FHA-insured reverse mortgages. These reverse mortgages let homeowners aged 62 and older to borrow against the value of their homes without selling them. Homeowners can choose a lump-sum payment, monthly payments or tap into a line of credit. Repayment is not required as long as a homeowner lives in a home with a reverse mortgage. The reverse mortgage is then paid, with interest, when a homeowner sells the home or dies.

The new loan limits are part of a regular adjustment the federal government makes to account for rising home prices. The higher FHA loan limits will not cost the government because the FHA Insurance Fund is fully supported by premiums paid by borrowers who receive FHA insurance.