Cullman FHA Loan Rates, Closing Costs & Stats

Cullman, AL

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    • FHA loans are mortgages created in the 1930's to help insulate lenders from credit risks and help promote home ownership. The Federal Housing Administration (hence, FHA) allows for lower downpayments and credit scores-- making these loans much more accessible than traditional mortgages.

    FHA loans typically need just a 3.5% downpayment with credit scores of 580 or better. For credit scores between 500-579, the downpayment needs to be at least 10%.

    While FHA loans make home ownership much more accessible to first-time homebuyers, they do require PMI (purchase money insurance)-- an additional insurance premium that is paid to the FHA to help cover defaults.

    For additional requirements as defined by the FHA, click here.

    Cullman's 64 lenders originated 339 FHA loans during 2024. The total origination value was $75,575,000, with an average FHA loan value of $222,935.

    Cullman FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Cullman averaged 6.55% for the week of 2025-07-18, compared to the national average (all FHA variants) of 6.527% for the same period.

    Cullman's average FHA mortgage closing costs are $7,136.

    The average rate for the prior week (2025-07-11) was 6.45% and one month ago for the week of 2025-06-13, the average rate was 6.5%.

    The average rate one year ago was 6.87%.

    For refis of the same type during the week of 2025-07-18, the average rate was 6.14%.

    Click on whitespace and scroll within the chart to zoom in/out. Larger bubbles equate with more originations.

    Cullman FHA Loan Lenders by Rates & Fees

    The below table looks at the average fees/closing costs and rates for FHA 30 Year Fixed Rate (purchase, first lien) mortgages originated by each lender at the Cullman level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    First Federal Bank, A FSB 32 5.97% $13,101
    GUILD MORTGAGE COMPANY 32 6.46% $10,033
    QUICKEN LOANS, LLC 24 6.40% $9,727
    Flagstar Bank, FSB 19 6.43% $8,333
    UNITED WHOLESALE MORTGAGE, LLC 19 6.21% $9,786
    FREEDOM MORTGAGE CORPORATION 14 6.69% $8,944
    STOCKTON MORTGAGE CORPORATION 14 6.75% $10,174
    Renasant Bank 11 6.42% $8,638
    DHI MORTGAGE COMPANY, LTD. 10 5.11% $6,666
    LOANDEPOT.COM, LLC 8 6.36% $8,273
    EAGLE HOME MORTGAGE, LLC 7 4.82% $7,362
    MORTGAGE INVESTORS GROUP, INC. 6 6.21% $7,232
    PENNYMAC LOAN SERVICES, LLC 6 5.71% $9,826
    TOWNE MORTGAGE COMPANY 5 5.93% $9,668
    MOVEMENT MORTGAGE, LLC 5 6.53% $9,794
    Mr. Cooper ( Nationstar Mortgage ) 5 6.45% $13,464
    AMERICAN PORTFOLIO MORTGAGE CORPORATION 4 6.69% $11,809
    Prosperity Home Mortgage, LLC 3 5.92% $10,441
    Ameris Bank 3 6.21% $7,600
    Hamilton Mortgage Corporation 3 6.08% $8,074
    Synovus Bank 3 6.38% $9,644
    LEADERONE FINANCIAL CORPORATION 3 6.38% $13,493
    MUTUAL OF OMAHA MORTGAGE, INC. 3 7.08% $13,751
    REDSTONE Federal Credit Union 3 6.54% $6,313
    United Community Bank 3 6.17% $8,304
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 3 6.58% $9,263
    FirstBank 2 6.00% $10,216
    Carrington Mortgage Services, LLC 2 6.88% $10,331
    TJC Mortgage, Inc. 2 6.56% $8,558
    Trustmark National Bank 2 6.13% $7,658
    Regions Bank 2 5.75% $11,541
    Plains Commerce Bank 2 6.25% $14,308
    Equity Prime Mortgage LLC 2 6.13% $7,933
    ENDEAVOR CAPITAL, LLC. 2 6.25% $10,144
    BROKER SOLUTIONS, INC. 2 5.94% $8,451
    VILLAGE CAPITAL MORTGAGE 1 6.88% $8,903
    AMERICAN FINANCING CORPORATION 1 5.88% $9,252
    American Mortgage & Equity Consultants, Inc. 1 7.13% $7,661
    AmeriHome Mortgage Company, LLC 1 6.63% $5,274
    AMERISAVE MORTGAGE CORPORATION 1 6.25% $11,016
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 1 6.75% $5,953
    Bank of America 1 6.88% $15,189
    Bank of England 1 5.25% $7,956
    Consumer First Mortgage, Inc. 1 6.75% $8,599
    Cornerstone First Mortgage, Inc 1 6.75% $10,325
    EMM LOANS LLC 1 6.25% $10,556
    EVERETT FINANCIAL, INC. 1 6.63% $10,880
    GMFS LLC 1 5.88% $8,976
    GSF Mortgage Corporation 1 8.63% $7,230
    ISERVE RESIDENTIAL LENDING, LLC 1 6.00% $27,544
    MICHIGAN MUTUAL, INC. 1 7.25% $9,840
    MILEND, INC. 1 6.63% $12,954
    PHH Mortgage Corporation 1 7.49% $7,529
    Pinnacle Bank 1 5.75% $15,525
    PLANET HOME LENDING, LLC 1 6.38% $4,665
    PLAZA HOME MORTGAGE, INC. 1 7.25% $10,395
    SeaTrust Mortgage Company 1 6.49% $8,855
    SouthPoint Bank 1 6.25% $4,795
    SUN WEST MORTGAGE COMPANY, INC. 1 6.83% $8,844
    The Central Trust Bank 1 5.63% $11,855
    The Loan Store, Inc. 1 5.63% $5,697
    UNION HOME MORTGAGE CORP. 1 7.00% $13,051
    Victorian Finance, LLC 1 5.75% $8,348
    AMERICAN FINANCIAL RESOURCES, INC. 1 7.13% $8,252

    The top Cullman FHA lender as defined by loan originations is First Federal Bank, A FSB, with 32 FHA loans originated. Their average total fees are $13,101, which is $3,068 higher than the next largest lender, GUILD MORTGAGE COMPANY.

    The lowest fee Cullman FHA lenders (with over 10 loans originated) are DHI MORTGAGE COMPANY, LTD. ($6,666), Flagstar Bank, FSB ($8,333), Renasant Bank ($8,638), FREEDOM MORTGAGE CORPORATION ($8,944) and QUICKEN LOANS, LLC ($9,727).

    The lowest rate Cullman FHA lenders (with over 10 loans originated) are DHI MORTGAGE COMPANY, LTD. (5.11%), First Federal Bank, A FSB (5.97%), UNITED WHOLESALE MORTGAGE, LLC (6.21%), QUICKEN LOANS, LLC (6.40%) and Renasant Bank (6.42%).

    Cullman FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    CULLMAN, AL CULLMAN 2022 $420,680 $538,650 $651,050 $809,150
    CULLMAN, AL CULLMAN 2023 $472,030 $604,400 $730,525 $907,900

    FHA Loan Requirements

  • Borrowers must have a steady employment history or worked for the same employer for the past two years.
  • Borrowers must have a valid Social Security number, lawful residency in the U.S. and be of legal age to sign a mortgage in your state.
  • Borrowers must pay a minimum down payment of 3.5 percent. The money may be gifted by a family member. (Traditional mortgages do not permit gifted down payments)
  • New FHA loans are only available for primary residence occupancy.
  • Borrowers must have a property appraisal from a FHA-approved appraiser.
  • Borrowers’ front-end ratio (mortgage payment plus HOA fees, property taxes, mortgage insurance, homeowners insurance) needs to be less than 31 percent of their gross income, typically. You may be able to get approved with as high a percentage as 40 percent. Your lender will be required to provide justification as to why they believe the mortgage presents an acceptable risk. The lender must include any compensating factors used for loan approval.
  • Borrowers’ debt to income ratio (mortgage plus all your monthly debt, i.e., credit card payment, car payment, student loans, etc.) needs to be less than 43 percent of their gross income, typically. You may be able to get approved with as high a percentage as 50 percent.
  • Borrowers must have a minimum credit score of 580 for maximum financing with a minimum down payment of 3.5 percent.
  • Borrowers must have a minimum credit score of 500-579 for maximum LTV of 90 percent with a minimum down payment of 10 percent.
  • Bborrowers must be two years out of bankruptcy and have re-established good credit. Exceptions can be made.
  • Typically borrowers must be three years out of foreclosure and have re-established good credit.
  • The purchased property must meet certain minimum standards at appraisal. If the home you are purchasing does not meet these standards and a seller will not agree to the required repairs, your only option is to pay for the required repairs at closing (to be held in escrow until the repairs are complete).