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 20, 2024 - When you close an FHA mortgage, you make your down payment and pay closing costs, accept the keys to the home, and prepare to move in. But what should you expect after moving into the new house?
July 19, 2024 - There are many FHA home loan programs, including construction loans and reverse mortgages, which have details some borrowers find confusing. However, assistance is available. HUD-approved housing counseling can greatly help.
July 17, 2024 - What fees and expenses can you expect from an FHA reverse mortgage, also known as an FHA home equity conversion mortgage (HECM)? There are a number of important costs to save for. We examine them in this article.
July 16, 2024 - There are many options to consider when planning your home loan. One good example? Some borrowers wonder if they should choose a 15-year FHA loan over a 30-year mortgage. Those who want to save as much money might consider the 15-year FHA loan, but there are other choices.
July 13, 2024 - According to HUD, the changes announced in early July 2024 modernize the program and enhance its usefulness for individuals and families seeking affordable financing for renovating or rehabilitating a single-family home when purchasing or refinancing it.
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.
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!
