Durham FHA Loan Rates, Closing Costs & Stats

DURHAM-CHAPEL HILL, NC

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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.

    Durham's 141 lenders originated 1,095 FHA loans during 2024. The total origination value was $330,085,000, with an average FHA loan value of $301,447.

    Durham FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Durham averaged 6.73% for the week of 2025-07-18, compared to the national average (all FHA variants) of 6.527% for the same period.

    Durham's average FHA mortgage closing costs are $8,800.

    The average rate for the prior week (2025-07-11) was 6.73% and one month ago for the week of 2025-06-13, the average rate was 6.58%.

    The average rate one year ago was 6.95%.

    For refis of the same type during the week of 2025-07-18, the average rate was 6.41%.

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

    Durham 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 Durham level.

    Name # of Loans 2024 Avg. 30yFix Rate 2024 Avg. Closing Costs
    QUICKEN LOANS, LLC 105 6.23% $13,270
    LOANDEPOT.COM, LLC 87 6.12% $9,380
    UNITED WHOLESALE MORTGAGE, LLC 76 6.01% $13,465
    VELOCIO MORTGAGE L.L.C. 40 5.07% $9,688
    FREEDOM MORTGAGE CORPORATION 32 6.40% $11,221
    DHI MORTGAGE COMPANY, LTD. 26 5.46% $9,183
    MOVEMENT MORTGAGE, LLC 22 6.51% $11,496
    PENNYMAC LOAN SERVICES, LLC 21 6.00% $13,333
    CROSSCOUNTRY MORTGAGE, LLC 19 6.46% $13,598
    NEWREZ LLC 19 6.26% $12,759
    UNION HOME MORTGAGE CORP. 16 6.30% $13,624
    BROKER SOLUTIONS, INC. 16 7.01% $12,208
    Carrington Mortgage Services, LLC 14 6.33% $10,550
    ZILLOW HOME LOANS, LLC 13 6.36% $12,119
    Corporate Investors Mortgage Group, Inc. 12 6.25% $11,108
    Truist 11 6.07% $15,317
    GoPrime Mortgage, Inc. 11 6.67% $13,227
    KBHS HOME LOANS, LLC 11 5.73% $11,403
    ATLANTIC BAY MORTGAGE GROUP, L.L.C. 11 6.58% $11,692
    INTERCOASTAL MORTGAGE COMPANY 11 6.44% $9,638
    American Security Mortgage Corp. 11 6.28% $11,170
    EAGLE HOME MORTGAGE, LLC 10 5.95% $9,089
    Equity Prime Mortgage LLC 10 6.78% $12,580
    GUILD MORTGAGE COMPANY 9 6.46% $13,898
    CORNERSTONE HOME LENDING, INC. 8 6.95% $11,347
    FAIRWAY INDEPENDENT MORTGAGE CORPORATION 8 6.66% $10,437
    Towne Mortgage of the Carolinas, LLC 8 6.14% $13,658
    First-Citizens Bank & Trust Company 7 5.36% $9,447
    AMERICAN FINANCIAL RESOURCES, INC. 7 6.18% $15,740
    CMG MORTGAGE, INC. 7 6.66% $11,459
    LOANPAL, LLC 7 5.38% $18,181
    AMERISAVE MORTGAGE CORPORATION 7 5.66% $20,397
    MUTUAL OF OMAHA MORTGAGE, INC. 6 6.23% $18,936
    NVR Mortgage Finance, Inc. 6 6.44% $15,975
    GUARANTEED RATE, INC. 6 6.21% $11,082
    M/I FINANCIAL, LLC 6 5.60% $15,816
    RELIANCE FIRST CAPITAL, LLC 6 6.44% $10,299
    PLANET HOME LENDING, LLC 5 6.27% $7,422
    Mr. Cooper ( Nationstar Mortgage ) 5 5.93% $18,990
    NFM, INC. 5 6.50% $14,604
    Blue Ridge Bank 5 7.03% $12,234
    CARDINAL FINANCIAL 5 6.53% $11,822
    VANDERBILT MORTGAGE AND FINANCE, INC. 5 5.75% $15,018
    Towne Bank 5 6.23% $13,054
    T2 FINANCIAL LLC 5 6.63% $12,217
    SeaTrust Mortgage Company 5 6.85% $10,500
    Loan Simple, Inc. 5 6.95% $16,631
    Nations Lending Corporation 4 6.41% $12,091
    MILEND, INC. 4 6.56% $14,160
    Lakeview Community Capital, LLC 4 6.63% $8,483
    VILLAGE CAPITAL MORTGAGE 4 6.62% $7,074
    Victorian Finance, LLC 4 6.41% $12,029
    EMM LOANS LLC 4 5.94% $13,073
    DELMAR FINANCIAL COMPANY 4 6.31% $10,571
    AMERICAN FINANCING CORPORATION 4 6.13% $12,692
    AmeriHome Mortgage Company, LLC 4 6.06% $11,553
    HOMESIDE FINANCIAL, LLC 4 6.69% $10,416
    Mortgage Research Center, LLC 3 7.04% $12,117
    The Federal Savings Bank 3 6.75% $11,249
    Flagstar Bank, FSB 3 5.39% $13,767
    TOWNE MORTGAGE COMPANY 3 6.96% $11,531
    The Central Trust Bank 3 6.13% $11,230
    Paramount Residential Mortgage Group, Inc. 3 6.58% $11,290
    FIRST COMMUNITY MORTGAGE, INC. 3 6.58% $20,075
    SUMMIT FUNDING, INC. 3 6.79% $12,117
    Plains Commerce Bank 3 6.17% $11,325
    City Lending Inc. 3 6.29% $13,731
    VERITAS FUNDING, LLC 3 6.00% $17,102
    Prosperity Home Mortgage, LLC 3 6.42% $12,823
    Ameris Bank 3 6.88% $9,083
    OCMBC, INC. 3 5.79% $16,651
    North State Bank 2 5.94% $8,659
    ALLIED MORTGAGE GROUP, INC. 2 6.25% $8,099
    AMERICAN FINANCIAL NETWORK, INC. 2 6.88% $9,607
    Atlantic Coast Mortgage, LLC 2 6.75% $10,561
    Bank of England 2 5.88% $14,612
    BAY EQUITY LLC 2 5.87% $12,187
    BETTER MORTGAGE CORPORATION 2 6.38% $10,002
    ENVOY MORTGAGE, LTD 2 6.63% $14,133
    HIGHLANDS RESIDENTIAL MORTGAGE, LTD. 2 5.87% $10,615
    JPMorgan Chase Bank 2 6.88% $6,757
    LAKEVIEW LOAN SERVICING, LLC 2 6.50% $8,524
    LAND HOME FINANCIAL SERVICES, INC. 2 7.50% $19,478
    NETWORK CAPITAL FUNDING CORPORATION 2 5.81% $12,799
    OCEANSIDE MORTGAGE COMPANY 2 6.00% $4,805
    PENTAGON FEDERAL CREDIT UNION 2 6.06% $15,812
    PRIMARY RESIDENTIAL MORTGAGE, INC. 2 6.81% $10,631
    PRIMELENDING, A PLAINSCAPITAL COMPANY 2 6.88% $10,391
    PULTE MORTGAGE LLC 2 5.50% $12,568
    SUN WEST MORTGAGE COMPANY, INC. 2 6.50% $20,993
    U.S. Bank 2 6.75% $10,626
    OPEN MORTGAGE, LLC 1 6.25% $15,158
    MORTGAGE INVESTORS GROUP, INC. 1 5.25% $16,479
    MILLENNIUM FINANCIAL GROUP, INC. 1 6.25% $6,573
    Barrington Bank & Trust Company, N.A. 1 5.75% $7,710
    MID AMERICA MORTGAGE, INC. 1 8.38% $12,103
    LADERA LENDING, INC. 1 6.63% $12,824
    PLAZA HOME MORTGAGE, INC. 1 6.75% $8,826
    PREMIER MORTGAGE RESOURCES, L.L.C. 1 6.75% $18,699
    Presidential Bank, FSB 1 5.63% $16,061
    ARK-LA-TEX FINANCIAL SERVICES, LLC. 1 5.49% $28,669
    AmRes Corporation 1 6.88% $5,737
    JAMS-01, INC. 1 6.63% $8,724
    V.I.P. MORTGAGE, INC. 1 6.99% $7,314
    Integrity Home Mortgage Corp 1 7.13% $8,127
    Regions Bank 1 6.25% $14,809
    HOMESPIRE MORTGAGE CORPORATION 1 5.75% $11,214
    Renasant Bank 1 7.25% $8,199
    ROYAL UNITED MORTGAGE LLC 1 7.63% $6,918
    RUOFF MORTGAGE COMPANY, INC. 1 6.13% $4,945
    S1L, Inc. 1 7.50% $8,464
    HOMEBRIDGE FINANCIAL SERVICES, INC. 1 6.38% $7,984
    Sierra Pacific Mortgage Company, Inc. 1 5.99% $16,595
    SOUTHERN TRUST MORTGAGE, LLC 1 6.13% $13,870
    SUCCESS MORTGAGE PARTNERS, INC. 1 6.38% $7,617
    GSF Mortgage Corporation 1 7.00% $10,234
    Wells Fargo Bank 1 5.25% $24,911
    SWBC MORTGAGE CORPORATION 1 6.63% $7,581
    GENEVA FINANCIAL, LLC 1 7.13% $17,244
    Franklin Loan Corporation 1 6.13% $11,753
    FIRST SAVINGS MORTGAGE CORPORATION 1 7.25% $17,679
    The Loan Store, Inc. 1 6.25% $15,198
    Tidewater Home Funding, LLC 1 6.13% $4,434
    TIDEWATER MORTGAGE SERVICES, INC. 1 6.38% $9,632
    TOP FLITE FINANCIAL, INC. 1 6.13% $17,894
    First National Bank of Pennsylvania 1 5.75% $6,339
    FIRST HOME MORTGAGE CORPORATION 1 6.75% $10,137
    FIRST ALLIANCE HOME MORTGAGE, LLC 1 5.13% $20,733
    EUSTIS AND AMERICAN MORTGAGE COMPANY 1 6.88% $7,504
    EQUITY RESOURCES, INC. 1 7.25% $9,937
    Cornerstone First Mortgage, Inc 1 7.13% $9,177
    AMERICAN PACIFIC MORTGAGE CORPORATION 1 6.75% $11,831
    Uwharrie Bank 1 6.00% $14,183
    CONTOUR MORTGAGE CORPORATION 1 6.00% $17,233
    NEXERA HOLDING LLC 1 5.13% $16,336
    NEW DAY FINANCIAL, LLC 1 7.63% $5,113
    Northpointe Bank 1 6.50% $11,199
    Alcova Mortgage LLC 1 6.50% $10,056
    NBKC BANK 1 6.13% $8,871
    CALCON MUTUAL MORTGAGE LLC 1 6.00% $18,563
    MY MORTGAGE, INC. 1 7.63% $10,658

    The top Durham FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 105 FHA loans originated. Their average total fees are $13,270, which is $3,890 higher than the next largest lender, LOANDEPOT.COM, LLC.

    The lowest fee Durham FHA lenders (with over 10 loans originated) are EAGLE HOME MORTGAGE, LLC ($9,089), DHI MORTGAGE COMPANY, LTD. ($9,183), LOANDEPOT.COM, LLC ($9,380), INTERCOASTAL MORTGAGE COMPANY ($9,638) and VELOCIO MORTGAGE L.L.C. ($9,688).

    The lowest rate Durham FHA lenders (with over 10 loans originated) are VELOCIO MORTGAGE L.L.C. (5.07%), DHI MORTGAGE COMPANY, LTD. (5.46%), KBHS HOME LOANS, LLC (5.73%), EAGLE HOME MORTGAGE, LLC (5.95%) and PENNYMAC LOAN SERVICES, LLC (6.00%).

    Durham FHA Loan Limits

    Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
    DURHAM-CHAPEL HILL, NC CHATHAM 2022 $506,000 $647,750 $783,000 $973,100
    DURHAM-CHAPEL HILL, NC DURHAM 2022 $506,000 $647,750 $783,000 $973,100
    DURHAM-CHAPEL HILL, NC GRANVILLE 2022 $506,000 $647,750 $783,000 $973,100
    DURHAM-CHAPEL HILL, NC ORANGE 2022 $506,000 $647,750 $783,000 $973,100
    DURHAM-CHAPEL HILL, NC PERSON 2022 $506,000 $647,750 $783,000 $973,100
    DURHAM-CHAPEL HILL, NC CHATHAM 2023 $602,600 $771,450 $932,500 $1,158,850
    DURHAM-CHAPEL HILL, NC DURHAM 2023 $602,600 $771,450 $932,500 $1,158,850
    DURHAM-CHAPEL HILL, NC GRANVILLE 2023 $602,600 $771,450 $932,500 $1,158,850
    DURHAM-CHAPEL HILL, NC ORANGE 2023 $602,600 $771,450 $932,500 $1,158,850
    DURHAM-CHAPEL HILL, NC PERSON 2023 $602,600 $771,450 $932,500 $1,158,850

    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).