An FHA home loan is a government-backed mortgage program that can make it easier for people to become homeowners. FHA mortgage loans are insured by the Federal Housing Administration (FHA), which is part of the U.S. Department of Housing and Urban Development (HUD).
Since these loans are backed by the FHA, we can provide you with financial flexibility through a low down payment requirement and other benefits. An FHA mortgage loan is especially helpful if you’re a first-time homebuyer or need help qualifying for home financing.
What are the benefits of an FHA home loan? In general, these loans are less restrictive than other loan types and offer many benefits, including the following:
- Down payments as low as 3.5%
- Sellers may contribute up to 6% of the sale price
- A parent or relative can be a co-applicant on your loan as a non-occupant
- Flexible debt-to-income ratios