Question 1

How does an FHA cash-out work?

Accepted Answer

You refinance the home you live in into a larger FHA loan and take the difference as cash, up to 80% of the home's value, under credit guidelines that are easier than conventional's. Many owners use it to clear high-interest debt. Every account needs 12 months of on-time payments.

Question 2

How much do I need down on an FHA purchase?

Accepted Answer

3.5% down with 620+ credit, on a 1–4 unit home you live in, and gift funds can cover all of it. Below 620 credit (down to HUD's 500 minimum), an FHA purchase needs 20% down. FHA mortgage insurance is part of the monthly cost too.

Question 3

Is FHA only for a home I live in?

Accepted Answer

Purchases and cash-out refinances, yes: you have to live there, though a 2–4 unit property works if you live in one unit, and rent from the other units may help you qualify. The one exception is the FHA Streamline, which can refinance a home you've moved out of and now rent. For an investment purchase, look at DSCR.

Question 4

How much is FHA mortgage insurance (MIP)?

Accepted Answer

FHA mortgage insurance has two parts. The upfront premium is 1.75% of the base loan amount and is usually financed into the loan. The annual premium is paid monthly and depends on the loan size and your down payment: on a loan longer than 15 years with a base amount up to $726,200, it is 0.50% with 5% or more down and 0.55% with less; above $726,200, 0.70% and 0.75%. Loans of 15 years or less carry lower premiums. Unlike conventional PMI, it doesn't drop off when you reach 20% equity.

Question 5

Can I remove FHA mortgage insurance?

Accepted Answer

If you put less than 10% down, FHA MIP stays for the life of the loan. The most common way to remove it is to refinance into a conventional loan once you have sufficient equity. If you put 10% or more down, MIP can be removed after 11 years.

Question 6

What's the minimum credit score for an FHA loan?

Accepted Answer

With 620+ credit you qualify for the minimum 3.5% down payment. Below 620, FHA purchases are possible with 20% down, and FHA refinances are still considered, down to HUD's 500 minimum score. An FHA Streamline has no minimum score from us.

Question 7

How does the total cost of FHA compare with conventional?

Accepted Answer

It depends on your credit and your down payment. FHA carries mandatory mortgage insurance, upfront and annual, so with strong credit and a larger down payment a conventional loan often costs less over time; with lower credit or a small down payment, FHA can come out ahead. We price both side by side for your scenario.

Question 8

Does checking my options affect my credit?

Accepted Answer

No. The quiz asks you to pick a credit range; nobody pulls your credit. A credit check comes later, and only with your permission, if you choose to apply.

Question 9

How long until I have the money?

Accepted Answer

It varies. The HELOC is the fastest, funding in as little as 5 business days, and hard money closes in days rather than months. Whatever the program, you get a real timeline for your file before you commit to anything.

Question 10

Does it cost anything to check?

Accepted Answer

No, and checking doesn't commit you to anything. If you decide to go ahead, you get the costs in writing before you sign: a Loan Estimate within 3 business days of applying on most mortgages, and the program's own written disclosures on a HELOC, a reverse mortgage or a Home Equity Investment.

Question 11

Who sees the information I enter?

Accepted Answer

It goes to Arran Amorozo and the West Capital Lending, Inc. team through Follow Up Boss, our CRM, so we can work on your scenario and reach you by phone, text or email the way the consent on the form describes. The site also uses service providers for hosting, analytics and ad measurement (Vercel, Google Analytics and Meta), as our Privacy Policy explains. We never sell your information, and a lender only sees your file once you decide to apply.

Question 12

I'm self-employed and my bank said no. What are my options?

Accepted Answer

More than a bank usually offers. A P&L loan qualifies on a profit and loss statement instead of tax returns, from 640 credit. A bank statement loan uses your deposits in place of tax returns. A DSCR or rental property loan qualifies on the property's rent, not your income. And in AZ, CA, CO, FL, OH, OR, PA, TN, UT & WA, a Home Equity Investment accepts credit from 500, with no monthly payment.

Base loan amount	Less than 5% down	5% down or more
Up to $726,200	0.55% a year	0.50% a year
Over $726,200	0.75% a year	0.70% a year

FHA loans: a forgiving path to buying or tapping your equity.

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