FHA loans provide accessible home financing for Chico California homebuyers. Nathan McGraw specializes in FHA loans throughout Butte County. FHA loans require 3.5% down payment with credit scores of 580 or higher. FHA loans allow credit scores as low as 500 with 10% down payment.
FHA Loan Requirements for Chico CA
- Minimum credit score: 580 for 3.5% down, 500 for 10% down
- Down payment: 3.5% minimum for qualified borrowers
- Debt-to-income ratio: Up to 57% with compensating factors
- Primary residence requirement: Must be borrower's primary home
- FHA loan limits Butte County 2026: $498,257 for single-family homes
- Mortgage insurance: 1.75% upfront premium plus annual premiums
FHA Loan Benefits in Chico
FHA loans offer significant advantages for Chico homebuyers. Low down payment requirements make homeownership accessible sooner. Flexible credit requirements help buyers with less-than-perfect credit qualify. Gift funds are allowed for down payment and closing costs. Competitive interest rates provide affordable monthly payments. Nathan McGraw processes FHA loans efficiently for Butte County buyers.
For a $450,000 home in Chico, the FHA down payment would be $15,750 compared to $90,000 for conventional 20% down. This accessibility helps many Butte County families achieve homeownership years sooner. Nathan McGraw has helped hundreds of FHA borrowers throughout Northern California.
FHA Property Requirements
FHA loans require properties to meet minimum property standards. Homes must be safe, structurally sound, and meet FHA guidelines. Properties in Chico, Paradise, Oroville, and throughout Butte County must pass FHA appraisal inspection. Nathan McGraw helps buyers understand property requirements before making offers in Northern California.
Contact Nathan McGraw for FHA loan information: 530-518-1043 or nmcgraw@changemtg.com. Office located at 2463 Beacon Street, Chico, CA 95928.