Yes, FHA is the best route to take. Everyone that has an FHA loan pays mortgage insurance (PMI). The monthly mortgage insurance amount is calculated at 0.5% of the loan amount per yr. (Ex. 200,000 x 0.5%= 1000 per yr /12 payments= 83.33 per month.Sounds like this is a slam dunk for you. Our interest rates are extremely low right now - 4.750% for 30 year fixed FHA loans. Our processing time is fast as well. Please contact me, Brock Hicks, at your earliest convenience! 949-287-4058 direct.

You don't have any other options, but FHA when you put 5% down for a condo. PMI will be automatically obtained by the lender, your monthly PMI will be around $79 dollars. My suggestion if you can afford buying and be in your own home, it is always better the renting. You get to enjoy your own home.

With a FHA mortgage you ALWAYS have PMI for the first 5 years at least. (unless its a 15 year with at least 10% down). Good luck with your purchase, rates are great. if you have any questions or would like a free second opinion let me know.. Benben.brown@fcmhomeloans.com