The complete 2026 guide to FHA-insured mortgages — how they work, who qualifies, what they cost, and how to get approved. Written by licensed loan officers and fact-checked against HUD Mortgagee Letter 2025-23.
No obligation. Tell us about your plans and a licensed loan officer reviews what is possible.
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Your info
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Loan details
Quick answer
Which FHA loan program should you use?
FHA loans are government-insured mortgages for primary residences with a 3.5% minimum down payment at 580 FICO. The family includes 203(b) purchase, 203(k) renovation, Streamline refinance, cash-out refinance up to 80% LTV, and the FHA HECM reverse mortgage for borrowers 62 and older.
What this means for your mortgage
Pick the program that matches your goal — buying, renovating, lowering your rate, or pulling cash out — and the rest of the file follows the same FHA rulebook.
Reviewed by the licensed mortgage team at Simply Approved Mortgages · Last verified August 23, 2026 against HUD Handbook 4000.1
203(b) is the standard FHA purchase loan — 3.5% down, 580 FICO
203(k) rolls renovation costs into the same mortgage
Streamline refinance needs no appraisal and no income documentation in most cases
FHA cash-out is capped at 80% loan-to-value
All FHA loans require both upfront and annual mortgage insurance
FHA DPA pairs with every FHA purchase program we offer
FHA Loan Rates for FHA Loans
Everything on this page about FHA Loans comes back to one question: what does the loan actually price at? There is no single FHA rate: pricing moves with your credit profile, loan size, loan-to-value, property type, term and how long you need the rate held. Price your scenario below to see the live FHA options available to us, with the provider's own APR, points or credit and payment for each.
Snapshot pricing unavailable
No current pricing snapshot — we never show sample rate figures.
Sample scenario: Florida primary residence, 30-year fixed FHA. Pricing is refreshed once every business day and can change between refreshes.
Loading the most recent FHA pricing snapshot…
Snapshot pricing is an example for the sample scenario described above. It is not a quote, an application, a pre-approval, a rate lock, an offer of credit or a commitment to lend, and it is not personalized to you.
APR is supplied by our pricing provider for the exact scenario priced. Other lender or third-party charges listed separately may not be reflected, and the final APR can change. Your final mortgage disclosures control.
A lender credit reduces eligible closing costs only. It cannot exceed those costs and is never cash back to the borrower.
Get my own FHA pricing
The three cards above are examples from the latest daily snapshot. Enter your own purchase price, down payment, credit score and location to see every eligible FHA option for your scenario, priced right now.
The 30-second answer
An FHA loan is a mortgage insured by the Federal Housing Administration, a division of HUD. The FHA does not lend money. It guarantees lenders against loss, allowing them to offer mortgages with as little as 3.5% down, FICO scores from 580, and debt-to-income ratios up to 57% with compensating factors. The trade-off is mortgage insurance premiums (MIP) — a 1.75% upfront fee and a small monthly premium.
The Numbers
2026 FHA loan parameters
3.5%
Min. down payment with 580+ FICO
500
Absolute minimum FICO (10% down)
$541,287
2026 floor 1-unit loan limit
$1,249,125
2026 ceiling 1-unit limit
1.75%
Upfront MIP (financed)
0.55%
Annual MIP (typical 30-yr, 3.5% down)
43–57%
Maximum debt-to-income ratio
6%
Max seller-paid closing costs
Who Qualifies
FHA was built for borrowers who don't fit a conventional loan
First-time buyers with limited savings
Borrowers with FICO scores between 580 and 680
Self-employed borrowers with documented but variable income
Buyers with a recent (2–3 year) bankruptcy or foreclosure
Buyers in high-cost markets needing flexible DTI
Buyers using 100% gift funds for the down payment
Buyers of 2-to-4-unit owner-occupied properties
Homeowners refinancing or doing a 203(k) renovation
FICO 740+ with 5%+ down: Conventional usually beats FHA on combined rate + mortgage insurance cost over 7 years.
The Process
How the FHA loan process actually works
1
Pre-approval review
We review credit, income and assets, and — if the file supports it — issue a pre-approval letter. Timing depends on the documentation received and lender review.
2
Find a home and make an offer
Your pre-approval letter strengthens your offer. FHA-approved homes only — but most existing homes qualify.
3
Hard pull and full underwriting
We collect pay stubs, W-2s, tax returns, and bank statements. Underwriting verifies every line item.
4
FHA appraisal
A HUD-roster appraiser values the home and checks it against FHA Minimum Property Standards.
5
Clear-to-close
Underwriter signs off. We issue final disclosures and schedule closing.
6
Closing
You sign at a title company or with a mobile notary. Loan funds, deed records, keys handed over.
FHA Questions Answered
FHA loan FAQs: the questions buyers ask most
What is an FHA loan?
An FHA loan is a mortgage insured by the Federal Housing Administration. The FHA does not lend money — it insures loans made by FHA-approved lenders. This insurance lets lenders offer lower down payments (as little as 3.5%) and more flexible credit requirements than conventional mortgages.
What credit score do I need for an FHA loan in 2026?
FHA's official minimum is 500 with 10% down, or 580 with 3.5% down. In practice, most lenders require a 580 FICO at minimum, and many require 620. Simply Approved Mortgages can work with scores as low as 580 with strong compensating factors.
How much down payment do I need for an FHA loan?
3.5% of the purchase price with a FICO of 580 or higher. 10% down if your FICO is between 500 and 579. The full down payment can come from a gift, a grant, or a down payment assistance program.
What are the 2026 FHA loan limits?
The 2026 FHA loan limit for a one-unit home ranges from $541,287 (low-cost counties) to $1,249,125 (high-cost counties). Hawaii, Alaska, Guam, and the U.S. Virgin Islands have a special exception ceiling of $1,873,625. Multi-unit limits are higher.
Do FHA loans have mortgage insurance?
Yes. There's a 1.75% upfront MIP (financed into the loan) plus an annual MIP that's paid monthly. On a loan with less than 10% down, MIP lasts the life of the loan. To remove it, you refinance into a conventional loan once you have 20% equity.
Can I use an FHA loan for an investment property?
No — FHA loans are for owner-occupied primary residences only. However, you can use an FHA loan for a 2-to-4-unit property as long as you live in one of the units. This is one of the most common ways to get started in real estate investing.
What is the maximum debt-to-income ratio for an FHA loan?
FHA's standard cap is 43% DTI. With compensating factors — strong credit, cash reserves, larger down payment — borrowers can sometimes go up to 50% or 57% DTI with manual underwriting.
Can I get an FHA loan after a bankruptcy or foreclosure?
Yes. The waiting periods are: 2 years after a Chapter 7 discharge, 1 year into a Chapter 13 (with court approval and on-time payments), 3 years after a foreclosure, and 3 years after a short sale. Re-established credit is required.
What is an FHA streamline refinance?
It's a simplified refinance for borrowers who already have an FHA loan. No appraisal, no income verification, and no full credit re-underwrite are required. You must have made on-time payments for 12 months and the refinance must produce a 'net tangible benefit' (typically a 0.5%+ reduction in combined rate + MIP).
Are FHA loans assumable?
Yes. An FHA loan can be assumed by a qualified buyer when you sell — they take over your loan, including the rate. This is a major advantage in a rising-rate environment. The buyer still has to qualify on credit and income.
You had a bankruptcy, foreclosure, or collections in the last few years
Consider another path if…
You have 20% down and a 740+ score — conventional will cost less
You're buying a rental or second home
The purchase price is above your county's FHA limit
Quick answers
Which FHA loan is most common?
The 203(b) fixed-rate purchase loan — it covers the vast majority of FHA buyers.
Can FHA be used for an investment property?
No. FHA financing is for owner-occupied primary residences, though 2–4 unit properties qualify if you live in one unit.
Do FHA loans ever drop mortgage insurance?
Only if you put 10% or more down, in which case annual MIP ends after 11 years; otherwise it lasts the life of the loan and is removed by refinancing.
Which FHA program fits a fixer-upper?
The 203(k) — Limited for cosmetic and non-structural work up to the published repair cap, Standard for structural or larger projects with a HUD consultant.
Can I switch FHA programs mid-transaction?
Sometimes, but changing programs usually means a new case-number setup, a new appraisal scope, and a restart of parts of underwriting.
Do all FHA programs require mortgage insurance?
Yes. Upfront and annual MIP apply across FHA forward mortgages, and HECM has its own premium structure.
Is there an FHA program for a home that does not exist yet?
Yes — the FHA one-time close construction loan funds construction and the permanent mortgage in a single closing.
Which FHA programs allow a co-borrower?
Forward FHA purchase and refinance programs allow co-borrowers, subject to occupancy rules and the non-occupant co-borrower requirements.
Can I use FHA for a second home or investment property?
No. FHA forward mortgages are for principal residences; there is no FHA second-home or investor program.
Do FHA programs have income limits?
FHA itself has no income limit. Some down payment assistance programs paired with FHA do have income and purchase-price limits.
How do FHA and USDA or VA compare?
VA and USDA offer zero-down options for eligible borrowers and property areas; FHA has no service or rural requirement but requires MIP.
Sources for this page
Program rules and figures on this page are taken from the primary government sources below, not from third-party summaries.
Simply Approved Mortgages is not affiliated with or endorsed by HUD, FHA, or any government agency.
Included with your FHA estimate
Get your FHA Pre-Approval Summary.
Complete the short form and we send back a full FHA breakdown: your county loan limit, the minimum FHA down payment, financed upfront MIP, monthly mortgage insurance, and an estimated payment — plus whether down payment assistance can cover your cash to close.
Maximum FHA loan amount for your county
Minimum FHA down payment and cash-to-close estimate
Upfront and annual MIP included
Estimated monthly payment with taxes and insurance
Takes about 3 minutes · No obligation · Summary emailed and shown on screen
Illustration only, generated from the information you enter. Not a Loan Estimate, pre-qualification, commitment to lend, or approval. Subject to appraisal, credit and income review, FHA guidelines, and final lender approval. Equal Housing Opportunity.
FHA Estimate Summary
Purchase price
$385,000
Down payment (3.5%)
$13,475
Base loan amount
$371,525
Financed UFMIP (1.75%)
$6,502
Est. monthly payment
Shown in your summary
Sample figures for illustration only — not a quote, rate lock, offer of credit or commitment to lend. Simply Approved Mortgages · NMLS #2620881 · Equal Housing Opportunity
Weighing it up
Pros and cons of FHA financing
The trade-offs below are specific to FHA financing. Reviewed August 23, 2026 against HUD Handbook 4000.1 and the current HUD county loan limit file.
What works in your favor
3.5% down from a 580 FICO, with 100% of the down payment giftable.
Seller contributions of up to 6% of the sale price toward closing costs.
No income caps, and higher DTI is possible with documented compensating factors.
What to plan around
Annual mortgage insurance for the life of the loan at 3.5% down.
County loan limits cap the financed amount, not the purchase price.
HUD minimum property standards apply at appraisal.
Worked example
The FHA numbers behind this page
A $425,000 example shows the cash and loan structure FHA produces before pricing is added.
The FHA numbers behind this page
Purchase price
$425,000
FHA down payment at 3.5%
$14,875
Base loan amount
$410,125
Upfront MIP at 1.75%, financed
$7,177
Conventional 20% down for comparison
$85,000
Illustration only — not a quote, rate lock, offer or commitment to lend. Subject to lender underwriting and approval.
Document checklist
What documents you need for FHA financing
This is the set an FHA underwriter typically asks for. Having it ready before you write an offer is the single biggest difference between a two-week and a six-week file.
Identity and residency
Government-issued photo ID and Social Security number
Two-year residence history with landlord contact where you rented
Assets
Two months of statements for every account used for down payment or reserves
A signed gift letter plus the donor's source of funds for any gifted money
Retirement statements when reserves are drawn from those accounts
Property and credit
Fully executed purchase contract with all addenda
Homeowners insurance quote, plus flood coverage where required
Written explanation for credit events, plus bankruptcy or foreclosure paperwork if applicable
Income documentation
Self-employed vs. W-2 employed: what it means for your FHA loan
Income documentation is where most FHA files slow down, and it depends on how you are paid. FHA does not apply a different credit score, down payment or county limit to self-employed borrowers — it applies a different documentation standard.
FHA documentation differences between W-2 employed and self-employed borrowers
Item
W-2 employed
Self-employed
History required
Two-year employment history, with gaps explained. A job change inside the same field is usually fine.
Generally two years of self-employment. A shorter history can sometimes be considered when there is documented prior experience in the same line of work.
How income is calculated
Base pay from pay stubs and W-2s. Bonus, overtime and commission generally need a two-year history to be averaged in.
Net income from tax returns, averaged and adjusted for allowable add-backs such as depreciation. Write-offs that reduce taxable income also reduce qualifying income.
Documents that open the file
30 days of pay stubs, two years of W-2s, and a verification of employment.
Two years of personal and business returns, year-to-date P&L and balance sheet, and evidence the business is still operating.
Verification at closing
The employer is re-verified shortly before closing; do not change jobs mid-process without telling your loan officer.
Continued existence of the business is re-verified close to closing, typically through a third-party or licensing check.
Most common delay
Unexplained gaps, a new job with variable pay, or a VOE the employer never returns.
A declining year over year, or a large deduction that removes the very income needed to qualify.
What we suggest
Get the VOE moving on day one — it is the item most often outstanding at the end.
Have your accountant produce the year-to-date P&L before you shop, so qualifying income is known before you write an offer.
If you are W-2 employed
Pay stubs covering the most recent 30 days
W-2 forms for the last two years
A verification of employment; HUD Handbook 4000.1 Update 18 tightened the written and electronic VOE rules, so expect the employer record to be verified directly
Documentation of bonus, overtime or commission income if you want it counted
If you are self-employed
Two years of personal federal tax returns, all schedules
Two years of business returns for a partnership, S-corp or C-corp, plus K-1s
A year-to-date profit and loss statement and balance sheet
Business license, CPA letter or equivalent evidence the business is active
General FHA documentation guidance per HUD Handbook 4000.1, including Update 18 changes to written and electronic verification of employment. Requirements vary by borrower, property, lender and program, and all loans are subject to lender underwriting and approval. Sources: HUD Handbook 4000.1
Run the numbers for your county
FHA payment, affordability, closing cost and refinance calculators for the United States
Prefilled with the 2026 HUD reference median of $415,000 for the United States, a 0.90% effective property tax rate and a directional $2,300 annual homeowners premium. Change any input — the interest rate is your own assumption, not an offer.
Figures are illustrations based on the values you entered — not an offer, rate lock, or commitment to lend. Emailing your scenario sends it to a licensed loan officer in Florida or Colorado.
Estimates for general educational purposes only. Interest rates shown are assumptions you enter, not quoted rates, and nothing here is a rate lock, APR, payment quote, pre-approval, offer or commitment to lend. Results exclude HOA dues, flood or wind policies, mortgage insurance changes, points and lender-specific fees. FHA upfront MIP of 1.75% and annual MIP of 0.55% follow HUD Mortgagee Letter 2023-05 for a 30-year term at 3.5% down. Property tax and insurance inputs are directional state references, not a parcel-level bill. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state. All loans are subject to lender underwriting and approval. Equal Housing Opportunity. Sources: HUD Mortgagee Letter 2023-05 (MIP) · HUD Mortgagee Letter 2025-23 (2026 loan limits) · U.S. Census Bureau ACS · NAIC homeowners insurance · CFPB Closing Disclosure
Taxes, insurance and local expenses
What owning actually costs in the United States
Mortgage pricing moves the payment a little. Property tax and insurance move it a lot, and they are entirely local. These figures are built from the 2026 HUD county dataset for the United States and national tax and settlement conventions, reviewed August 23, 2026.
Estimated ownership costs in the United States on a $415,000 home
Cost
Estimate
How it works here
Property tax
$311 / mo
About 0.90% effective on $415,000 — roughly $3,735 a year. Millage is set locally, so verify the parcel's actual bill.
Homeowners insurance
$192 / mo
Directional $2,300 a year for a single-family owner policy in the U.S.. Wind, hail and flood may be separate policies.
FHA annual mortgage insurance
$184 / mo
0.55% of the $400,475 base loan at 3.5% down, 30-year term, per HUD Mortgagee Letter 2023-05.
FHA upfront MIP
$7,008
1.75% of the base loan, normally financed into the $407,483 total loan amount rather than paid in cash.
State transfer / documentary tax
Varies
Transfer, deed, recordation and mortgage taxes are set state by state — several states charge none at all.
Settlement convention
Title/escrow state
A title or escrow company customarily conducts the closing and issues the policy.
The expense buyers here miss most
Property tax and homeowners insurance vary far more between two states than mortgage pricing does — always re-price the escrow on the exact county before you write an offer.
How this affects the FHA file
Taxes and insurance are part of the qualifying payment, so a $503 escrow in your county consumes debt-to-income capacity before a single dollar of principal and interest is counted. Underwriting uses the post-closing figures, not the seller's current bill.
Estimates for general education only — not a quote, rate, APR, pre-approval, offer or commitment to lend. Property tax rates are effective rates derived from U.S. Census Bureau ACS data; actual millage is set by county, city, school and special districts. Insurance figures are directional annual premiums, not quotes. Transfer, deed, recordation and mortgage taxes summarise state-level statutes; counties and municipalities frequently add their own. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Sources: U.S. Census Bureau — ACS property tax data · NAIC Homeowners Insurance Report · CFPB — understanding closing costs
Equity strategy
Cash-out, HELOC, debt consolidation and investment equity in the United States
Four different ways to use the same equity, worked against a $415,000 value with about $257,300 owed. Each one solves a different problem, and each one has a real cost. Figures are equity arithmetic under HUD Handbook 4000.1 loan-to-value limits, not quotes.
Cash-out refinance
On a $415,000 home in the United States with roughly $257,300 owed, FHA caps a cash-out refinance at 80% of appraised value — about $332,000. That leaves roughly $74,700 gross, or near $64,325 after typical costs, from $157,700 of equity.
Why it can work
One first lien, one payment, one servicer.
FHA cash-out has no seasoning penalty beyond the required 12 months of on-time payments and 12 months of occupancy.
Proceeds are loan funds, not income, so they are generally not taxed as income.
What it costs you
You are re-starting amortization on the entire balance, not just the cash you take.
FHA cash-out keeps annual mortgage insurance for the life of the loan at above-90% LTV, and 11 years at or below 90%.
If your existing first lien is priced better than today's market, you give that up to access the equity.
HELOC or second lien instead
Lenders commonly write a second lien to about 85% combined LTV — near $95,450 available here without disturbing the first mortgage. It is the right tool when the existing first lien is worth keeping.
Why it can work
Leaves a good first mortgage completely untouched.
You draw only what you use, so you are not carrying interest on money sitting idle.
Closing costs are usually far lower than a full first-lien refinance.
What it costs you
Most HELOCs carry a variable rate, so the payment can rise while the balance stays the same.
Draw periods end, and the repayment period that follows raises the payment sharply.
A second lien still secures your home — the risk profile is the same as the first.
Consolidating higher-cost debt
Moving unsecured balances into the $74,700 of accessible equity in your county typically lowers the monthly outflow, because a 30-year amortization stretches a payment that a card or auto note compresses into a few years.
Why it can work
Frees monthly cash flow, which can also improve qualifying debt-to-income for a later move.
Consolidates several due dates into one predictable escrowed payment.
Removes revolving balances that were re-pricing at the issuer's discretion.
What it costs you
You convert unsecured debt into debt secured by your home — a missed payment now risks the house.
Stretching a 3-year balance over 30 years can raise the total dollars paid even when the monthly figure falls.
It fixes the symptom, not the spending. Re-running the cards afterwards leaves you with both debts.
Mortgage interest deductibility depends on how the funds are used — confirm with your tax advisor, not your lender.
Using equity toward an investment property
The roughly $64,325 net available here can serve as the down payment on a rental. FHA financing itself requires owner occupancy, so the new property would be financed conventionally or as a business-purpose loan, not with FHA.
Why it can work
Converts idle equity in one property into a second income-producing asset.
Rental income may later help qualify, once it has the documented history the lender requires.
Diversifies your position across two properties instead of one.
What it costs you
You are now carrying two mortgages against one income if the unit sits vacant.
Investment-property financing requires larger down payments and stricter reserves than FHA.
FHA occupancy rules apply to your existing loan — the home you refinanced must remain your primary residence.
Local landlord licensing, insurance and tax treatment differ from owner-occupied ownership.
Illustrative equity calculations for general education only — not a quote, rate, APR, payment, pre-approval, offer or commitment to lend, and not tax or legal advice. Values assume the stated appraised value and balance; your equity, loan-to-value and available proceeds will differ. FHA cash-out refinances are limited to 80% loan-to-value and require owner occupancy per HUD Handbook 4000.1. HELOCs and second liens are separate products with their own terms and are commonly variable-rate. Consolidating unsecured debt into a mortgage secures that debt against your home. Consult a tax advisor regarding deductibility. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Equal Housing Opportunity.
Simply Approved Mortgages Expert Insight
Program recommendation · Last reviewed August 23, 2026
Pick the FHA program before you pick the rate
Borrowers often compare rates across programs that do not actually solve their situation. A 203(b) purchase, a 203(k) renovation, a Streamline refinance, and a HECM each carry different documentation, appraisal, and mortgage-insurance mechanics. We scope the right program first, because the wrong one costs far more than a rate difference.
Our recommendation
Match the FHA program to the property and the goal, then price it.
Ask SAM anything about FHA loans in the United States
SAM is the Simply Approved Mortgages AI assistant, grounded in HUD Handbook 4000.1 and the 2026 HUD county limit file. It answers general FHA questions instantly. A licensed loan officer reviews every scenario before any terms are confirmed.
Hi — I'm SAM. Ask me about FHA loan limits, credit, mortgage insurance, down payment assistance or what an underwriter will need from you. General education only: I don't quote rates, and nothing I say is an offer or commitment to lend.
Ask Simply AI provides general educational information about FHA loan programs. It is an automated assistant, may be incomplete or out of date, and does not provide legal, tax or financial advice. Nothing it produces is a rate quote, APR, pre-approval, offer or commitment to lend. Simply Approved Mortgages LLC (NMLS #2620881) arranges residential mortgage loans in Florida and Colorado. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Equal Housing Opportunity.
Where to go next
Continue with the FHA topic that matches where you are, or talk to a licensed loan officer about your own numbers.
Short on cash to close? Ask about the FHA DPA, offered through Simply Approved Mortgages: 2.5%, 3.5%, or 5% of your loan amount toward your down payment and closing costs, structured as a 10-year repayable second lien at your first-mortgage rate + 2%. FICO 580+, primary residence only — it's an option on every loan program on this site.
How it works
Three tiers. Real money toward your home.
2.5% / 3.5% / 5% of the lesser of purchase price or appraised value
Pairs with FHA, Conventional, VA, and USDA first mortgages
10-year repayable second lien — no silent forgivable strings
Not available in: New York, Washington, U.S. Virgin Islands, Guam, Northern Mariana Islands, and American Samoa. All loans subject to underwriting approval and program guidelines.
Amount calculator & eligibility checker
See how much assistance you may qualify for
Enter a purchase price, pick an assistance tier, and confirm property and residency. Results are illustrative — not a quote or commitment.
Simply Approved Mortgages DPA
DPA amount calculator & eligibility checker
Estimate 3.5% assistance on the lesser of price or appraisal, layered over a 30-year fixed FHA first mortgage.
Estimated DPA
$14,000
3.5% of $400,000
2nd-lien P&I
$174
10-yr · 8.500%
Amount calculator
Lesser of price or appraisal
$400,000
DPA at 3.5%
$14,000
2nd-lien term
10-year fixed, repayable
2nd-lien rate
8.500%
Monthly P&I
$174/mo
Illustrative only — not a quote, lock, offer, or commitment to lend. Binding figures appear only on your Loan Estimate and Closing Disclosure.
Eligibility checker
Documentable qualifying income?
Willing to complete homebuyer education before closing?
Property in NY, WA, USVI, Guam, MP, or AS?
Answer each question above to see your preliminary result.
Figures are illustrations based on the values you entered — not an offer, rate lock, or commitment to lend. Emailing your scenario sends it to a licensed loan officer in Florida or Colorado.
Preliminary self-check only — no credit pulled. Not a quote, lock, offer, or commitment to lend. Simply Approved Mortgages is not affiliated with HUD, FHA, VA, USDA, FHFA, or any government agency. Equal Housing Opportunity. NMLS# 2620881.
Our pricing philosophy
Transparency. Simplicity. Consumer Choice.
At Simply Approved Mortgages, we believe borrowers deserve clear information, professional guidance, and access to competitive mortgage solutions.
Our company is built around a straightforward philosophy: provide transparent mortgage guidance, maintain a consistent compensation structure on most transactions, and help borrowers make informed financing decisions based on their individual needs and goals.
For many mortgage transactions, Simply Approved Mortgages typically operates using a lender-paid compensation structure of approximately 1.50%. Actual compensation may vary based on lender requirements, loan program, state regulations, loan amount, and other transaction-specific factors.
We believe transparency helps consumers better understand the mortgage process and make informed decisions when comparing financing options.
Our promise
Mortgage financing should be understandable, transparent, and focused on helping consumers make informed decisions.
Our goal isn't to maximize compensation per transaction. Our goal is to build lifelong client relationships through transparency, service, and competitive mortgage solutions.
Why compensation transparency matters
Understanding all aspects of the financing process
Many borrowers spend significant time comparing interest rates, but may be less familiar with how mortgage companies and loan originators are compensated.
Compensation structures can vary among lenders, mortgage brokers, banks, credit unions, and other mortgage providers. Compensation is only one component of a mortgage transaction and should be evaluated alongside interest rates, APR, lender fees, discount points, closing costs, loan features, and overall loan suitability.
At Simply Approved Mortgages, we believe consumers benefit from understanding all aspects of the financing process before making a decision.
Interactive illustration
See how compensation scales by loan amount
Move the slider to compare a hypothetical 1.50% Simply Approved Mortgages compensation structure with a hypothetical 2.75% used by some other lending options. For educational purposes only.
$400,000
$50,000$2,000,000
Typical market comp at 2.75%$11,000
Simply Approved Mortgages at 1.50%$6,000
Potential closing cost difference
Hypothetical impact on lender compensation only
~$5,000
For illustration only. Figures are hypothetical and not a quote, offer, rate lock, or guarantee of savings. Lender compensation is one component of closing costs; actual loan terms, interest rates, fees, APR, and total costs vary by program, loan amount, credit qualifications, property, occupancy, state, and market conditions.
Illustrative compensation comparison
Comparing a hypothetical 1.50% to a hypothetical 2.75%
The example below compares a hypothetical 1.50% compensation structure used by Simply Approved Mortgages to a hypothetical 2.75% structure used by some other lending options, solely for educational purposes.
Loan Amount
Simply Approved Mortgages (1.50%)
Other lending options (2.75%)
Difference
$250,000
$3,750
$6,875
$3,125
$350,000
$5,250
$9,625
$4,375
$500,000
$7,500
$13,750
$6,250
$750,000
$11,250
$20,625
$9,375
$1,000,000
$15,000
$27,500
$12,500
These examples are illustrative only and are intended to demonstrate how different compensation percentages may produce different compensation amounts based on loan size.
These examples do not represent borrower fees, interest rates, APR, closing costs, loan terms, pricing, or savings, and should not be interpreted as a guarantee that any borrower will receive lower costs or better loan terms.
Our commitment to borrowers
Our goal is to provide
Professional mortgage guidance
Transparent communication throughout the loan process
Access to a broad range of mortgage programs
Competitive financing options based on borrower qualifications
A streamlined application and approval experience
Support for homebuyers, homeowners, and real estate investors
A team-focused approach
Support for every type of borrower
Whether you're purchasing a home, refinancing an existing mortgage, consolidating debt, or financing an investment property, our team is committed to helping you evaluate available options and make informed decisions.
Compare more than just the interest rate
When evaluating mortgage options, borrowers should consider the complete financing package
•Interest Rate
•Annual Percentage Rate (APR)
•Lender Fees
•Discount Points
•Closing Costs
•Loan Features and Flexibility
•Prepayment Terms
•Product Eligibility Requirements
•Customer Service and Support
The most appropriate mortgage solution depends on each borrower's individual financial circumstances, objectives, qualifications, and preferences.
Important Disclosure: Simply Approved Mortgages LLC typically utilizes a lender-paid compensation structure of approximately 1.50% on many mortgage transactions; however, compensation may vary based on lender requirements, loan program, state law, loan amount, borrower qualifications, and other transaction-specific factors. Compensation is only one component of mortgage pricing and does not, by itself, determine interest rates, APR, lender fees, closing costs, loan terms, or overall borrower costs. The information provided on this page is for general educational and informational purposes only and should not be construed as mortgage advice, a commitment to lend, an offer to extend credit, a rate quote, a loan approval, or a guarantee of savings. All mortgage loans are subject to credit approval, underwriting requirements, property approval, and program eligibility guidelines. Borrowers should carefully review all disclosures, including the Loan Estimate and Closing Disclosure, before proceeding with any mortgage transaction. Simply Approved Mortgages LLC • NMLS #2620881 • Equal Housing Opportunity.
Ready when you are
Get pre-qualified in minutes — no obligation.
Talk to a licensed Simply Approved Mortgages loan officer. We'll review your goals, walk through FHA, Conventional, VA, USDA, and DPA options, and give you straight answers — same day.
Simply Approved Mortgages • NMLS #2620881 • Licensed in Colorado and Florida
Quick pre-qualification
Share a few details and a licensed loan officer will follow up within one business day. No obligation.
1
Your info
2
Loan details
Credit & pre-approval
Why we pull credit for your FHA pre-approval
Every FHA file needs a tri-merge credit report so we can verify your identity, confirm your FICO tier against FHA's 580 / 500 thresholds, and price your rate and mortgage insurance accurately. Cleaner credit typically unlocks a better rate and a stronger pre-approval letter.
Pay for your credit report — SmartPay
Simply Approved Mortgages uses SmartPay to securely collect the credit report fee for your FHA pre-approval. Payment goes directly to the credit vendor — not to us — and unlocks your tri-merge report (Equifax, Experian, TransUnion) so your loan officer can price your file.
Secure, PCI-compliant SmartPay checkout
Required for a formal FHA pre-approval decision
Guided process — your loan officer walks you through each step
You'll be redirected to our secure SmartPay checkout.
Check your credit first — $1 trial at MyITINCredit
Before you apply, it's smart to know exactly where your credit stands. MyITINCredit offers a $1 trial for 15 days that includes all three credit reports and scores, plus ongoing monitoring so you can catch errors, dispute inaccuracies, and watch for identity theft.
See all 3 bureau reports & scores before your lender does
Ongoing monitoring alerts you to new accounts or score changes
Fix errors early — a higher FICO can lower your FHA rate
You'll be redirected to myitincredit.com. Third-party service — terms apply.
Credit report fees are paid directly to the credit vendor. Simply Approved Mortgages does not profit from the credit pull. MyITINCredit is an independent third-party service; pricing, terms, and features are set by that provider.
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