Is The FHA Loan Right For You?
What Is An FHA Loan?
FHA loans are originated by FHA-approved lenders and insured by the Federal Housing Administration. FHA mortgage loans must adhere to these lending guidelines, including but not limited to:
- The safety of the property being purchased,
- The financial capabilities of the borrower
- The balance of the loan in relation to local incomes
FHA loans are designed for low and moderate-income earners, as they allow for lower down payments and lower credit scores than conventional loan options. They can be used for:
- Single-family homes
- Multifamily properties (up to four units)
- Manufactured and mobile homes
Qualifying For An FHA Loan
Since FHA loans come with the financial safety net of government backing, lenders can loan to borrowers who have lower credit scores or smaller down payments. Generally, it is easier to qualify for an FHA loan than other loan programs particularly conventional loans. Learn More About FHA Loans