What are the drawbacks of a first time home buyer loan?

First time home buyer loans provide numerous advantages, but like with any financial product, there are certain disadvantages to consider. One disadvantage is that first time home buyer loans usually have higher mortgage insurance costs.

First time home buyer loans also have strict housing standards requirements. Homes must meet FHA health and safety qualifications, and only primary residences are eligible. Moreover, first time home buyer mortgage has value limits on the home – read about our non-QM loans for more flexible financing options that may better fit your needs.