An FHA loan is a mortgage made by a private lender and insured by the Federal Housing Administration, part of HUD. That insurance lets lenders accept smaller down payments and more flexible credit than many conventional loans — generally a 3.5% minimum down payment with a 580+ credit score — for a home you'll live in, subject to credit, income, property, and lender approval.
What an FHA loan really is
FHA doesn't hand out mortgages. A bank, credit union, or mortgage company funds the loan, and the Federal Housing Administration insures it. If the borrower stops paying, FHA covers the lender's loss. Because the lender's risk is lower, FHA guidelines can make room for people a conventional loan might turn away: thinner credit files, past credit problems that have been rebuilt, smaller savings, and higher debt ratios when there are strengths to offset them.
That insurance isn't free. Borrowers pay FHA mortgage insurance premiums (MIP) — one charged up front and one paid yearly in monthly installments. Whether FHA is the better choice usually comes down to how that cost compares with the alternatives for your credit and down payment. The guides on this site explain each piece so you can walk into that comparison informed.
FHA is not only for first-time buyers, and there's no income cap. It does have firm rules on occupancy, property condition, and loan size. HUD updates its handbook regularly and lenders can add their own overlays, so Matthew will confirm the current guidelines for your file.
Is FHA worth a closer look?
Six questions to see whether an FHA loan belongs on your short list.
Will the home be your primary residence for at least the first year?
Is your credit score 580 or higher, as far as you know?
Can you cover at least 3.5% down from savings, a gift, or assistance?
Has your income been reasonably steady for the past two years?
Are you free of any current FHA loan on another home?
Are you current on any federal debt, such as student loans or back taxes?
Your answers stay in your browser — nothing is saved or sent. This is a quick orientation, not a loan decision.
What "Express" means here
The word describes how information reaches you, not how a loan moves. Every mortgage takes the time its appraisal, documents, and underwriting take, and no one can honestly promise a shortcut.
Express Answers
The first box on each guide answers the headline question in two or three sentences. Read that, and you have the gist; keep scrolling for the details and exceptions.
Express Checks
Several guides include a self-check of four to seven yes / no / not sure questions. It points you to what to look at next. Nothing is saved or sent.
A direct line
Skip the call center. Reach out, and Matthew Brown reads your message and calls you back himself. Your information isn't sold to lead lists.
Want a straight answer for your situation? Skip the call center — Matthew will review your credit, budget, and FHA options himself.
Talk with MatthewWho FHA tends to fit
FHA is worth a serious look if one or more of these describes you:
- Your credit score is in the 500s or low 600s, or you're a few years past a bankruptcy, foreclosure, or rough patch and have rebuilt since.
- You have modest savings and want to keep some cash in reserve after closing — or a relative wants to help with a gift.
- Your debt load is on the higher side because of student loans, a car, or child support, but your job and payment history are steady.
- You're pairing the loan with down payment assistance from a state or local program that works with FHA.
- You're buying a 2–4 unit property and plan to live in one of the units.
FHA is often not the best match for buyers with strong credit and a large down payment, where conventional financing may carry lower mortgage insurance costs, or for anyone buying a second home or rental. The FHA vs. conventional comparison goes through the trade-offs.
Key FHA guidelines at a glance
These are general HUD guidelines. Individual lenders may set stricter standards (called overlays), and every file is reviewed on its own merits.
| Topic | General FHA guideline |
|---|---|
| Minimum down payment | 3.5% of the purchase price with a credit score of 580 or higher |
| Lower score tier | Scores of 500–579 generally require 10% down; below 500 is generally ineligible |
| Gifts and assistance | Gifts from family, employers, and approved sources and many government DPA programs can cover the down payment |
| Mortgage insurance | Upfront MIP (can usually be financed) plus annual MIP paid monthly; how long it lasts depends on your original down payment |
| Debt-to-income | Flexible — 31% / 43% is the standard benchmark, and automated underwriting may approve higher with strengths |
| Occupancy | Owner-occupied primary residence; 1–4 units; generally one FHA loan at a time |
| Loan size | Capped by county-based FHA limits that change each year |
| Property | Must pass an FHA appraisal and meet Minimum Property Standards |
Buying or refinancing?
Buy a home
Borrower, property, and paperwork requirements for an FHA purchase, with a readiness self-check.
FHA streamline refinance
Already in an FHA loan? The streamline is an FHA-to-FHA refinance with lighter documentation when you're current.
FHA cash-out refinance
Tap equity in the home you live in, generally up to 80% of appraised value, with full underwriting.
The FHA guide library
Every guide starts with an Express Answer, then covers the details, exceptions, and common questions.
FHA loan requirements
The full borrower and property checklist.
Credit score
580+, 500–579, overlays, and no-score files.
Down payment
3.5% minimum, gift rules, and assistance.
Mortgage insurance (MIP)
Upfront vs. annual and how long it lasts.
Debt-to-income
Ratios, compensating factors, and AUS.
Loan limits
County caps, 1–4 units, and the HUD lookup.
Appraisal & property
Minimum Property Standards and repairs.
After bankruptcy or foreclosure
Waiting periods and exceptions.
Streamline refinance
FHA-to-FHA with less paperwork.
Cash-out refinance
Borrowing against your equity.
Condos
Approved projects and single-unit approval.
Manufactured homes
Foundation, age, and title rules.
First-time buyers
A start-to-finish roadmap.
FHA vs. conventional
Which one fits your numbers.
Texas FHA loans
DPA pairing and property tax notes.
203(k), 203(h) & more
Renovation and disaster programs.
FHA loan FAQ
Short answers to common questions.
For real estate agents
Helping FHA buyers win offers.
Working with Matthew
- Tell Matthew what you're trying to do. Use the form below, call (512) 952-1125, or book a call. Matthew is licensed in several states, not all of them — tell him where you're buying and he'll confirm he can help there.
- Get an honest read. He reviews your credit, income, debts, and savings and tells you plainly whether FHA, conventional, VA, or USDA fits best — and what, if anything, to fix first.
- Pre-approval. When the numbers work, start a pre-approval so your offers carry weight with sellers.
- Contract to closing. Matthew stays your point of contact through the appraisal, underwriting conditions, and closing table.
Frequently asked questions
Is an FHA loan only for first-time buyers?
No. Repeat buyers can use FHA too, as long as the home will be their primary residence. Generally you can have only one FHA loan at a time, with a few exceptions.
Who actually makes an FHA loan?
A private, FHA-approved lender funds it. The Federal Housing Administration insures the lender against loss, which is what allows the more flexible guidelines.
Is there an income limit for FHA?
No. FHA has no maximum income. What matters is whether your income supports the payment alongside your other debts.
Can I use FHA to buy a duplex?
Yes. FHA can finance 1–4 unit properties as long as you live in one of the units. Loan limits are higher for multi-unit homes, and rental income may help you qualify.
Does Express mean my loan will close sooner?
No. Express refers to the boxed answers, the self-checks, and direct access to Matthew. Loan timelines depend on the appraisal, documents, and underwriting.
Ask Matthew about your FHA home loan
Tell Matthew a little about the property and your plans. He'll follow up by phone or email — no obligation.
Prefer to start now? Start your pre-approval · Schedule a call · (512) 952-1125
Your information goes to Matthew only — it isn't sold to lead lists. Please don't include Social Security or account numbers.