|Availing a home loan at an affordable rate has always been a problem in America for those who belong to the lower and middle level income group. FHA or Federal Housing Administration home loans were implemented around 70 years ago and since then FHA home loan rates give the borrowers confidence in availing a housing loan. It gives out mortgage at a reasonable rate for various income group people. Thus, it is because of FHA affordable home loan rates that has helped 73 millions of Americans in America to buy a house of their own.
FHA Home Loan Interest Rate
Most popular FHA housing loan is called the fixed rate loan. It suits the first time home buyers as it finances up to 97% of the home finance amount. This in turn helps them to maintain closing costs at a minimum amount and also keeping their down payments safely. It is also called the 205 (b) home loan. This is the only loan present today in which the entire cost of the closing costs can be given as a gift from a government agency, non profit organization or a close relative. The rate of interest applied by FHA home loans are subject to change with time and depends on different borrower's repayment capacity.
The FHA (Federal Housing Administration) also offers a reverse mortgage scheme in which a borrower aged 62 years can also get a home loan. Here, the cash will be equivalent to the equity in his or her house. Such kinds of loans depend on a number of factors such as the value of the property, current interest rates, credit report etc. If you are planning of applying for FHA reverse mortgage home loan then you will not be asked to make the mortgage payments till you stop using your house as primary residence.
More detailed information about FHA home loan interest rates can be found on the link given below: http://www.fha.com/fixed_rate.cfm .