FHA Loan Requirements
Whether you're a first-time homebuyer, moving to a new home, or want to refinance your existing conventional or FHA mortgage, the FHA loan program will let you purchase a home with a low down payment and flexible guidelines.
- The Facts About FHA Credit Requirements and FICO® Scores
- Do FHA Loan Requirements Apply to All Borrowers?
- Your FHA Loan Credit Qualifications
FHA Limits for 2024 Announced!
FHA loan limits were established to define how much you can borrow for a HUD-backed mortgage. Each state has different limits, so be sure to look up your state to understand what is available for your FHA home loan.
For 2024, the FHA floor was set at $498,257 for single-family home loans. This minimum lending amount covers most U.S. counties. The FHA ceiling represents the maximum loan amount and is illustrated in the table below.
| FHA Limits (low cost areas) | |||
| Single | Duplex | Tri-plex | Four-plex |
|---|---|---|---|
| $498,257 | $637,950 | $771,125 | $958,350 |
Also for 2024, the FHA ceiling was set at $1,149,825 for single-family home loans. This represents the highest amount that a borrower can get through the FHA loan program. It applies to high cost areas in the United States and is illustrated in the table below.
| FHA Limits (high cost areas) | |||
| Single | Duplex | Tri-plex | Four-plex |
|---|---|---|---|
| $1,149,825 | $1,472,250 | $1,779,525 | $2,211,600 |
Down Payment Grants for FHA Loans
Paying the upfront costs of buying a new home can be challenging. To help overcome this hurdle, many local and state agencies offer down payment assistance in the form of grants or second mortgages.
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FHA Loan Articles and Mortgage News
July 11, 2024 - Appraisals and home inspections are two separate but very important processes. For the purpose of this article, we focus on the mandatory FHA appraisal process the lender uses to establish the fair market value of the home.
July 9, 2024 - The FHA Home Equity Conversion Mortgage (HECM) loan program is an option for qualifying borrowers 62 or older. These loans require no monthly payment and feature a cash out option for the borrower.
July 8, 2024 - The FHA loan FICO score requirement is easy to understand. If your FICO scores fall between 500 and 579, FHA loan rules say you must pay 10% down, assuming lender standards allow loan approval for those scores.
July 6, 2024 - The FHA single-family home loan program includes both a fixed-interest rate option and an adjustable-rate home loan (ARM). In a housing market where mortgage rates are higher than they have been in many years, the adjustable-rate FHA loan is an option many consider.
July 3, 2024 - Borrowers sometimes assume things about home loan programs that aren’t true. For example, the USDA home loan option requires that the homes purchased with such loans must be in a rural area. But the USDA’s definition of rural is often quite different than you might think.
July 2, 2024 - What do new homebuyers need to know about FHA home loans, and how they can help? We examine some facts and fiction below. If you have never purchased a home, the information below can help you get off to a better start.
July 1, 2024 - There are things a new house hunter should do when planning a home loan, especially an FHA mortgage. There are also some crucial things house hunters should NOT do. We cover some essentials in this article.
June 30, 2024 - If you have never closed the deal on a mortgage loan before, house hunting might seem as daunting as buying a used car, but there are areas of the home you should add to your mental checklist of things to examine while walking through the property.
June 28, 2024 - Housing prices are often affected by housing inventory. When more homes are on the market than buyers, prices may come down. However, in an environment with more house hunters than homes for sale, prices may trend higher due to demand.
June 26, 2024 - Understanding key loan terminology can help. Some borrowers, for example, aren’t sure what the difference between earnest money and the down payment is. Others might wonder what a contingency reserve is or what it is supposed to do. We examine some key terms here.
Homebuyer Terminology
If you’re getting ready to shop around for mortgage options, it’s a good idea to brush up on some of the technical terms in our Mortgage Glossary. You’re going to be hearing a lot of them!
