FHA
Loans product to help purchase your first or next home.
Making Homeownership More Accessible
FHA
An FHA loan is a mortgage insured by the Federal Housing Administration, designed to make homeownership possible for more buyers — especially those with limited savings or lower credit scores. With flexible qualification guidelines and low down payment options, FHA loans are one of the most popular choices for first-time homebuyers.
FHA loans offer competitive rates, a down payment as low as 3.5%, and more forgiving credit requirements than most conventional loans. Whether you’re buying your first home or looking to refinance, an FHA loan provides an affordable path to homeownership backed by government protection and stability.
1 Unit Property
Minimum 3.5% down payment (with credit score ≥ 580)
Owner-occupied (must be your primary residence)
Debt-to-income (DTI) typically below 57%
Annual Mortgage Insurance (MIP): added to monthly payment
Property must meet FHA safety and livability standards
2-4 Unit Propertied
Borrower must live in one of the units as a primary residence
3.5% down payment allowed (if credit score ≥ 580)
Rental income from other units may count toward qualifying income
Property must meet FHA multi-unit appraisal guidelines
Reserves required: typically 3 months of mortgage payments
Each unit must have separate access, utilities, and living space
FAQS
Frequently Asked Questions
What is an FHA loan?
An FHA loan is a mortgage insured by the Federal Housing Administration. It’s designed to help borrowers with lower credit scores or limited savings qualify for a home loan with flexible terms and a smaller down payment.
How much do I need for a down payment?
With an FHA loan, you can put down as little as 3.5% if your credit score is 580 or higher.
Can I use gift funds for my down payment?
Yes! FHA loans allow you to use gift funds from family members, close friends, or approved organizations to cover part or all of your down payment and closing costs.
Do FHA loans require mortgage insurance?
Yes. FHA loans require two types of mortgage insurance:
An Upfront Mortgage Insurance Premium (UFMIP) (can be financed into the loan).
An Annual Mortgage Insurance Premium (MIP) added to your monthly payment.
Can I use an FHA loan for a multi-unit property?
Yes. FHA loans can be used to purchase up to 4 units, as long as you live in one of them as your primary residence. You may even be able to use the rental income from the other units to help you qualify.
Can I refinance with an FHA loan?
Absolutely. The FHA Streamline Refinance program allows current FHA borrowers to refinance with minimal paperwork, no appraisal (in many cases), and lower rates — making it one of the simplest refinance options available.
8. Are there property requirements for FHA loans?
Yes. The home must meet FHA safety, security, and livability standards. An FHA appraisal ensures the property is in good condition and meets HUD guidelines for occupancy.
What credit score do I need to qualify?
The minimum credit score for most FHA loans is 580, though some lenders may have their own requirements. FHA loans are popular because they’re more forgiving of past credit challenges.
Shad Whaley NMLS# 1999864
My Style Mortgage Inc.; NMLS #2622728; www.NMLSConsumerAccess.org. Equal Housing Lender. Licensed in Idaho, Texas and Utah. For additional information please visit https://www.mystylemortgage.com/privacy-policy. Lending services provided by My Style Mortgage Inc. 115 N. Clark St. Rigby, ID 83442