If you are interested in purchasing a home, you might be wondering about what type of mortgage you should apply for, and you may even have your concerns that you will not qualify for a mortgage at all. However, there is a good chance that there is a good mortgage option out there for you, such as an FHA loan. An FHA loan, which is a type of federally backed mortgage loan, is a good option for many homebuyers. These are a few signs it might actually be the best type of mortgage loan for you to apply for in your goal of purchasing a house.

You're Employed

Of course, if you want to purchase a home, it's essential for you to have an income. In order to qualify for an FHA loan, you will need to provide proof of your employment. You can typically do this by providing copies of your paycheck stubs, your tax returns, or your bank statements. Be aware that you will typically be required to have been employed for a certain length of time before you will be approved for an FHA loan. Consider providing as much documentation as possible to prove that you are gainfully employed to help increase your chances of getting approved for an FHA mortgage.

You're Prepared to Make a (Reasonable) Down Payment

One thing that you might be worried about when it comes to buying a home is whether or not you are going to have to make a down payment. The good news with an FHA loan is that down payment requirements are often lower than they are for more traditional mortgages. How much you will need to put down will depend on your credit score and the purchase price of the home that you want to buy, however.

You're Going to Be Using the Home as Your Primary Residence

It's true that some people take out mortgages on homes that they either want to use as a vacation home or that they are interested in renting out to others. However, in order to qualify for an FHA loan, you must be purchasing the home to use as your primary residence.

You Can Afford the Monthly Mortgage Payment

Not only is it important for you to have a steady income in order to apply for an FHA loan, but it is important for you to be able to afford the monthly mortgage payment. This is based off of your income and all of your debts. Your lender will use a calculator to determine whether or not you can afford the loan, but you may want to work out your own budget beforehand to ensure that you are applying for a mortgage loan that you can, in fact, afford.

Contact a company like Megastar Redding to learn more about FHA loans.