Video — How Your Credit History Affects Your FHA Loan Application

Loans from FHA-approved lenders (Federal Housing Authority) provide more flexibility than conventional loans. Here are some of the things generally allowed in re-establishing credit via FHA loans:

If you went through foreclosure or deed-in-lieu, if 3 years have passed, you may be eligible

If you had outstanding tax liens, if youve arranged a repayment plan with Federal (IRS) or state tax authorities, you may be eligible

If you have judgements that have been paid, you may be eligible

If you went through bankruptcy at least 2 years ago, you may be eligible.

For borrowers with unusual credit records — for example, those who prefer paying in cash and carrying no debt — FHA may be an option. Likewise, new or first-time buyers with little established credit should investigate FHA programs for assistance.

Talk to an FHA-approved lender to learn more.