MYTH #1: FHA loans are only for first-time homebuyers.
This is one of the most common misconceptions about FHA loans. While they are popular among first-time buyers due to their lower down payment requirements, FHA loans are not exclusive to them.
Open to All Buyers: FHA loans are available to any qualified borrower, regardless of whether they’ve owned a home before. This means that repeat buyers can also benefit from the favorable terms.
Benefits for Move-Up Buyers: Many people use FHA loans when purchasing their next home, especially if they’re looking to upgrade or downsize. The flexible credit requirements and lower down payments can be advantageous in these situations.
Investment Opportunities: FHA loans can also be used by investors looking to purchase multi-family properties, provided the owner occupies one unit. This opens up opportunities for seasoned buyers looking to generate rental income.
Refinancing Options: Existing homeowners can also refinance their current mortgages into an FHA loan, taking advantage of lower interest rates or changing their loan terms.
