FHA Mortgage Loans

Realize your dream of homeownership with a low down payment.

FHA Mortgage Features and Benefits

At Bethpage, we offer a wide selection of mortgage options, and we’re here to help you find the one that’s right for you. If you’re looking to finance a home with less money down and a less restrictive approval process than a traditional mortgage, a Bethpage FHA Mortgage Loan could be right for you.

Less restrictive credit score requirements
Easy refinance with FHA streamline
Great option for first-time homebuyers
Refinance up to 97.75% of your primary home’s value

Buy a primary residence with as little as 3.5% down
Gift funds are acceptable. Certain limitations and restrictions apply.
A seller is able to contribute up to 6% of the sales price in concessions

Bethpage offers competitive rates and low fees on 15 and 30 year FHA Mortgages, and we're committed to delivering exceptional member service every step of the way — from application through closing. See Additional Disclosures and Information.

See our latest rates

What is an FHA Mortgage Loan?

The Federal Housing Administration (FHA) is part of the U.S. Department of Housing and Urban Development. They provide mortgage insurance on loans made by FHA-approved lenders like Bethpage Federal Credit Union.

This means that FHA mortgage insurance protects lenders against losses. If a property owner defaults on their mortgage, FHA will pay a claim to the lender for the unpaid principal balance. Because lenders take on less risk, they are able to offer more mortgages to homebuyers.

To qualify for insurance, loans must meet certain requirements.

FHA Mortgages vs. Conventional Mortgages

FHA

Conventional

Credit Score Minimum

Down Payment

3.5% for credit scores of 580+ 10% for credit scores of 500-579

Between 3% to 20%

Loan Terms

15, 30 years^[1]

10, 15, 20, 30 years
See payment examples

Mortgage Insurance

Upfront Mortgage Insurance Premium (UFMIP): 1.75% of the base loan amount. Annual Mortgage Insurance Premium (MIP): 0.45% to 1.05% of base loan amount (paid monthly). MIP is generally required for the term of the loan, but may be removed under certain circumstances.

Private Mortgage Insurance (PMI): Required if loan-to-value (LTV) exceeds 80%. Generally, 0.5% to 1% of the loan amount (paid monthly). PMI remains on the loan until certain conditions are met.

Interest Type

Fixed rate

Variable rate, fixed rate

"Total and complete satisfaction with the level of professionalism, efficiency, and expediency of the overall mortgage process, from start to finish."

Margot N. Member since June 2013

“I was very happy with the whole experience of obtaining mortgage through Bethpage Federal Credit Union. Every person that I interfaced with was professional, friendly, always answered my questions and would call me back promptly when I left a message.”

Maria S. Member since May 2005

“Fast and friendly service and best rates out there.”

Carl P. Member since September 2010

FHA Mortgage FAQs

What size down payment do I need?

You can get an FHA Mortgage Loan with a down payment as low as 3.5 percent of the purchase price.

Can my down payment be gifted for an FHA Mortgage Loan?

Yes, down payment funds for an FHA Mortgage Loan can be gifted by a relative, close friend or other approved donor. Certain limitations and restrictions apply.

Where can I find Bethpage’s current mortgage rates?

Click here to see today’s mortgage rates.

Does Bethpage offer an FHA Mortgage Loan for a refinance?

Yes, Bethpage offers FHA Mortgage Loans for both purchase and refinance.

Are FHA Mortgage Loans just for first-time homebuyers?

While FHA Mortgage Loans are ideal for first-time homebuyers, people who have owned a home in the past can also take advantage of the program.

Can I buy an investment property with an FHA Mortgage Loan?

FHA Mortgage Loans can only be used to purchase a primary residence. An investment property or a vacation home would not qualify.

Disclosures, Assumptions, and Additional Information

All loan terms are subject to credit and FHA loan program requirements (applicants may be offered credit at higher rates and other terms). An FHA loan may not be available to all applicants as set forth by FHA guidelines. Bethpage does not offer residential mortgage loans in Texas. To obtain a loan, membership at Bethpage is required, which is subject to approval and requires opening a $5.00 savings account at or prior to loan consummation. Must be a US citizen or permanent resident alien. Rates, loan programs, terms, and conditions are subject to change without notice. Other restrictions and limitations apply.

Additional Disclosures and Information

[1] Fixed rate terms of 15, and 30 years have 180, or 360 monthly payments, respectively. FHA loans have 15- or 30-year repayment terms.

Payment Example: The Interest Rate, APR*, and Payment assumes the property is an existing single-family home used as the borrower’s primary residence in New York, a Loan to Value (LTV) ratio of 96.5% or less on a purchase mortgage, or an LTV of 97.75% or less on a refinance mortgage, a rate lock of 60 days or less, and a credit score of 720 or above.

A 30-year FHA loan of $361,721.25 ($355,500 base loan amount, plus 1.75% UFMIP) at 6.625% interest rate will have an APR of 7.279% and 360 monthly principal and interest payments of $2,316.14; this does not include amounts for taxes, insurance, nor mortgage insurance** (actual payments will be greater). The amount of each payment will apply over the term of the loan.

*APR = Annual Percentage Rate. The APR is the cost of credit over the term of the loan expressed as an annual rate.

**FHA loans require an up-front mortgage insurance premium (UFMIP), which may be financed or paid at closing, and monthly mortgage insurance premiums (MIP) for the term of the loan.

Bethpage is not acting on behalf of or at the direction of HUD/FHA or the Federal government.