FHA Mortgage Loans are insured by the Federal Housing Administration to protect FHA-approved lenders and minimize their risks. There are many advantages to an FHA Loan, including down payment requirements that are generally lower than other mortgages…typically around 3.5%. They also allow for higher debt ratios, high seller concessions, and have more favorable interest rates than Conventional Loans. Upfront Mortgage Insurance premiums are typically kept to 1.75% of the loan, regardless of the borrower’s credit score, and can be paid at closing or rolled into the mortgage.

To qualify for an FHA Loan, a borrower must:

  • Have a steady employment history
  • Have a valid Social Security number, be a lawful U.S. resident, and be of legal age to sign a mortgage in your state
  • Make a minimum down payment of 3.5%
  • Have the property appraised by an FHA-approved appraiser
  • Have a minimum credit score of 580 for maximum financing with minimum 3.5% down payment
  • Be two years out of bankruptcy and have re-established good credit
  • Be three years out of foreclosure and have re-established good credit

If you can’t afford the traditional down payment of 20% or can’t get approved for private mortgage insurance, FHA Loans are your best bet to get the home you want!

What You Can Do With an FHA 203k



Conventional Mortgage vs FHA Loans

*Down payment and other terms shown are for informational purposes only, and are not intended as an advertisement or commitment to lend. Not all borrowers will qualify; please contact us for an exact quote and more information on fees and terms.