I've started the process to get an FHA loan. But now I've found out about the BB&T CHIP program with low down payment and no PMI. Almost to good to be true? I'm planning on switching. But my question is, with this program out there. If you have the 680 score, why exactly would anyone choose to go the FHA route? I'm looking at the two loans, and I can't figure out why the majority of people don't go this route. Even the interest rate isn't too bad. Most people that do the CHIP are coming in at 4.1 or 4.2?
The DTI is even more lient. According to the guidlines I got from them today. It can be as much as 40%
Just reading throughout the board. People who have scores in the 700s are doing FHA? Am I missing something here? Have there been problems closing with the CHIP program?
Dont know anything about the CHIP program but ist not always about the score. Its about down payment and what is actually in your credit report that makes folks go FHA. Such as late pays or bankrupcies in the past.
Just read up on it and one thing I see for some folks is it looks like they have a max income stipulation. This would be a reason why you would have to go FHA for some.