FHA Loan
Thinking about buying your first home or want a lower-barrier way into homeownership? At Future Home Loans, we make the process simple, transparent, and friendly. On this page you’ll find everything you need to know about the FHA mortgage—from how the down payment works and credit score requirements to what types of homes qualify. We believe FHA loans are a smart option for many buyers, and we’re here to help you explore whether one’s right for you.
What is a FHA Loan?
An FHA loan is a mortgage insured by the Federal Housing Administration, designed to make homeownership more accessible for borrowers who may not qualify for a conventional loan. With low down-payment options, more flexible credit guidelines, and competitive rates, FHA loans are a popular choice for first-time homebuyers and anyone who needs a more affordable path to homeownership.
About FHA Loan Rates
FHA loan rates are often competitive with conventional mortgages, especially for borrowers with moderate credit scores. Because the loan is backed by the Federal Housing Administration, our lenders can offer more flexible terms and affordable monthly payments. The exact rate you receive will depend on your credit profile, debt-to-income ratio, loan amount, and current market conditions.
FHA Loan Requirements
Minimum Credit Score
580 (With 3.5% down; borrowers with scores between 500–579 may qualify with 10% down depending on lender guidelines.)
Minimum Down Payment
3.5% (Available to buyers with a credit score of 580 or higher.)
MAX LTV
96.5% for purchases (up to 100% when combined with certain down-payment assistance programs)
Max DTI
What type of home can I buy with a FHA Loan?
1. Single-family homes
2. FHA-approved condos
3. 2–4 unit properties (as long as one unit is owner-occupied)
4. Townhomes
5. Manufactured homes (subject to FHA guidelines)
2. FHA-approved condos
3. 2–4 unit properties (as long as one unit is owner-occupied)
4. Townhomes
5. Manufactured homes (subject to FHA guidelines)
Who is eligible for a FHA Loan?
1. Must be a U.S. citizen
2. Property must be primary residence
3. Must meet residual income requirements
2. Property must be primary residence
3. Must meet residual income requirements
How to Get Approved
1. Must occupy the home as a primary residence
2. Must provide a valid Social Security number
3. Must have steady employment or income history
4. Must demonstrate ability to repay the loan
5. Property must pass FHA appraisal and meet safety standards
6. Debt-to-income ratio generally must fall within FHA guidelines
7. Must pay FHA mortgage insurance (UFMIP + annual MIP)
2. Must provide a valid Social Security number
3. Must have steady employment or income history
4. Must demonstrate ability to repay the loan
5. Property must pass FHA appraisal and meet safety standards
6. Debt-to-income ratio generally must fall within FHA guidelines
7. Must pay FHA mortgage insurance (UFMIP + annual MIP)
Ready to Move Forward?
Whether you’re just exploring loan options or you’re ready to begin the process, we’re here to make it easier. Get clear guidance, fast answers, and a pre-approval experience built around your goals.