An FHA loan is a government-backed mortgage designed to make homeownership accessible — a low down payment, flexible credit guidelines, and pricing that does not step down as steeply with the credit score as conventional pricing does. It's one of the most popular paths for first-time buyers.
- As little as 3.5% down
- Credit scores from 580
- Gift funds allowed
- fixed rates
How people usually document income for this
What it gives you
Why people choose this one
Low 3.5% down payment
With a credit score of 580 or higher, you can buy with just 3.5% down — and the entire amount can come from an eligible gift.
Flexible credit requirements
FHA loans are more forgiving of past credit hiccups than many conventional programs, with scores accepted from 580 (or 500 with 10% down).
Higher debt-to-income flexibility
FHA guidelines often allow higher DTI ratios, helping more buyers qualify for the home they want.
Assumable loan
FHA loans are assumable, meaning a future buyer may be able to take over your low rate — a valuable selling point.
What you need
- Minimum credit score of 580 for 3.5% down (500–579 requires 10% down)
- Steady, verifiable income and employment history
- Property must be your primary residence
- Debt-to-income ratio within FHA guidelines
- Property must meet FHA appraisal standards
- Loan amount within the FHA limit for your county, which runs from a national floor to a high-cost ceiling
Programme facts
- Min. down paymentWith 580+ credit score
- 3.5%
FHA vs. Conventional at a glance
| FHA | Conventional | |
|---|---|---|
| Min. down payment | 3.5% | 3% |
| Min. credit score | 580 | 620 |
| Mortgage insurance | MIP (upfront + monthly) | PMI, cancellable at 80% LTV |
| Best for | Lower credit / lower down | Higher credit / 20% down |
The sequence
How a file like this gets built
- 01
Get pre-approved
Share a few details and a lender would verify your budget and issue a pre-approval.
- 02
Find your home
Shop with confidence knowing exactly what you can afford. We'll coordinate with your agent.
- 03
Underwriting & appraisal
We order the FHA appraisal and finalize your file while keeping you updated every step.
- 04
Close & get the keys
Sign, fund, and move in. We're here for any questions long after closing.
Questions
About fha loan
What credit score do I need for an FHA loan in 2026?
You'll need a minimum credit score of 580 to qualify for the 3.5% down payment. Borrowers with scores between 500 and 579 may still qualify with a 10% down payment.
What is the FHA loan limit for 2026?
FHA limits run from a national floor in standard areas up to a ceiling in high-cost ones, and HUD resets them annually. Loan limits are set every year by the FHFA for conforming loans and by HUD for FHA, and they differ county by county. This demonstration does not publish the figures, because a number typed into a website goes stale the week it ships — look up the current limit for your own county before relying on one.
Do FHA loans require mortgage insurance?
Yes. FHA loans require an upfront mortgage insurance premium (MIP) of 1.75% of the loan amount plus an annual MIP paid monthly, regardless of your down payment.
Can I use gift money for my FHA down payment?
Yes. The full 3.5% down payment can come from an eligible gift from a family member, employer, or approved down-payment-assistance program.
Demonstration form
Ask about a fha loan
If this were a working site, this is where the conversation would start.