Mortgage rates remain one of the most important topics for aspiring homebuyers. The 30-year fixed mortgage rate has recently held between 7.03% and 7.50%, raising the monthly cost for millions of buyers across the United States.
However, there are alternatives designed to help families without large savings for a down payment and closing costs. One of the most popular options is 100% FHA Combo financing.
What Is the FHA Combo?
The FHA Combo uses two loans to help the buyer purchase a home.
First Mortgage: FHA
Finances approximately 96.5% of the purchase price.
Second Mortgage
Covers the FHA-required down payment and in some cases helps with closing costs.
The Result
- Little or no money out of pocket
- Credit scores from 600+
- Ideal for first-time buyers
- Available in multiple states
Today's Mortgage Landscape
| Mortgage Product | Approximate Rate |
|---|---|
| 30-Year Fixed Mortgage | 7.03% - 7.50% |
| 15-Year Fixed Mortgage | 6.42% - 6.60% |
| FHA | Variable |
| Conventional | Variable |
| Jumbo | Variable |
Rising rates have reduced buying power for many purchasers, especially younger generations.
Tips Before You Buy
Don't Focus Only on the Rate
You should also look at:
- Property taxes
- Homeowner's insurance
- HOA dues
- FHA MIP
- Maintenance costs
- Emergency reserves
Ask Before Financial Trouble Starts
If you currently have a mortgage and are struggling to make payments, contact your bank or loan servicer as soon as possible to review available alternatives.
Most-Used FHA Loan Limits
California
| County | FHA Limit |
|---|---|
| Orange | $1,209,750 |
| Los Angeles | $1,209,750 |
| San Diego | $1,209,750 |
| Riverside | $1,209,750 |
| San Bernardino | $1,209,750 |
| Ventura | $1,209,750 |
Arizona
| County | FHA Limit |
|---|---|
| Maricopa | $636,900 |
| Pima | $636,900 |
| Pinal | $636,900 |
Texas
| County | FHA Limit |
|---|---|
| Harris | $636,900 |
| Dallas | $636,900 |
| Travis | $636,900 |
| Bexar | $636,900 |
Florida
| County | FHA Limit |
|---|---|
| Miami-Dade | $654,350 |
| Broward | $654,350 |
| Palm Beach | $654,350 |
Georgia
| County | FHA Limit |
|---|---|
| Fulton | $649,750 |
| Cobb | $649,750 |
| Gwinnett | $649,750 |
FHA Combo Payment Table by State
Includes: principal and interest, FHA MIP, taxes, insurance, second mortgage, and required income.
| State | Purchase Price | Total Payment | Monthly Income | Annual Income |
|---|---|---|---|---|
| Arizona | $500,000 | $4,252 | $8,504 | $102,048 |
| California | $500,000 | $4,502 | $9,004 | $108,048 |
| Texas | $500,000 | $4,814 | $9,628 | $115,536 |
| Florida | $550,000 | $4,835 | $9,670 | $116,040 |
| Georgia | $550,000 | $4,881 | $9,762 | $117,144 |
| Orange County, CA | $800,000 | $7,149 | $14,298 | $171,576 |
How Much Home Can You Buy?
| Monthly Income | Annual Income | Approx. Price |
|---|---|---|
| $6,000 | $72,000 | $300,000 |
| $8,000 | $96,000 | $425,000 |
| $10,000 | $120,000 | $550,000 |
| $12,500 | $150,000 | $700,000 |
| $15,000 | $180,000 | $850,000 |
| $18,000 | $216,000 | $1,000,000 |
| $20,000 | $240,000 | $1,200,000 |
FHA Combo Example: $500,000 Purchase
First Mortgage: FHA
| Item | Amount |
|---|---|
| Purchase Price | $500,000 |
| FHA 96.5% | $482,500 |
| FHA Down Payment | $17,500 |
Second Mortgage
| Item | Amount |
|---|---|
| Down payment | $17,500 |
| Closing costs | $10,000 |
| Second mortgage | $27,500 |
Cash required: from $0 up to a minimum amount depending on the available program.
Monthly Payment Example: $500,000
| Item | Payment |
|---|---|
| Principal & interest | $3,374 |
| FHA MIP | $342 |
| Taxes | $521 |
| Insurance | $90 |
| Second mortgage | $175 |
| Total Monthly Payment | $4,502 |
A Homebuyer Family's Story
Maria and Jose thought they needed more than $30,000 to buy a home. After reviewing an FHA Combo strategy, they discovered they could finance the down payment and a significant portion of the closing costs — keeping their emergency savings intact on the way to their first home.
Frequently Asked Questions
Can I buy with a 600 FICO score?
Yes. Programs exist for buyers with scores from 600, subject to approval and a full profile review.
Do I need to be a first-time buyer?
Not necessarily. Some programs allow repeat buyers.
Can I buy with no down payment?
FHA Combo structures and assistance programs can significantly reduce the cash required.
What is the minimum income?
It depends on the monthly payment, existing debts, and credit profile.
Would you buy a home with little or no money out of pocket?
- Yes, right away.
- Maybe, depending on the monthly payment.
- I need to check my credit.
- I'd rather wait.
Request Your Free Analysis
Want to know how much you can buy today? Our team can help you determine:
- Your maximum purchase amount
- Your estimated monthly payment
- Your FHA Combo eligibility
- Programs available in your state
- Options to finance down payment and closing costs
- Strategies for buyers with 600+ FICO
Talk to a Specialist Today
Vision One Mortgage, Inc.
NMLS #7861
Equal Housing Opportunity
Hblanchet@v1mortgage.com
(949) 253-3480
We serve buyers in: California, Arizona, Texas, Florida, and Georgia.
Find out today how much you can buy and start your path to homeownership!
Program guidelines change frequently. Verify the current guidelines and matrix before locking or quoting. This is educational information, not a commitment to lend. Equal Housing Opportunity.