HUD has announced that effectiveOct. 4, 2010, borrowers with a credit score below 500 are not eligible for
FHA-insured mortgage financing. Borrowers with a credit score between 500 and 579 are
limited to 90 percent LTV, which requires a 10 percent downpayment.Borrowers with a credit score
of 580 or higher are eligible for maximum financing, which requires a minimum 3.5 percent down payment.
Borrowers with nontraditional credit histories may be eligible formaximum financinng.
