Does Fha still finance up to 98.15% of appraised value?

Purchase transactions are 96.5% and they charge 1.75% upfront, which they will add to the loan. Refinance transactions are limited to 85% and the same 1.75% upfront will apply. The upfront is lower if you go 15 years. Bottom line is, you need 3.5% minimum down payment for FHA financing.. Unless your area has $100 down HUD homes.. these homes can be purchased with just $100 down plus closing costs, and HUD can pay up to 3% of those costs if you ask..I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Maybe I am missing something here, but I didn't see where Marcus mentioned if it was a purchase or a refi. The purchase criteria is listed below in the other answers, but you can refinace up to 97.75% of the appraised value. The 85% limitation is for cash-out or purchasing a property from a family member. I can be reached at 614-310-7520 for more information.

Much of what has been stated is correct. The biggest impact to the maximum loan-to-value calculation is determined by the transaction and which FHA program you intend to utilize. The standard 203(b) is 97.75% for energy efficient mortgages and 96.5% for standard purchases. If you intended to buy a home through the HUD Home Store that qualified for $100 Down incentive, that is practically 100%. One last loan type would be 203(k) which has a maximum of 110% of the as-improved appraised value.

Actually, the base loan amount is 96.5% of the Purchase Price or Appraised Value (if lower) and once you add the 1.75% Up-Front Mortgage Insurance Premium, the Gross loan amount will total 98.19% of the Purchase price. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ www.LoansA2z.com 888-889-9950

that would included PMI fee 96.5 plus the 1.75