
FHA is a very popular route buying a home, but it's not reserved only for first-time home buyers. You can buy your third or fourth home with an FHA loan. The only stipulation is that you may only have one FHA loan at a time. Today, the FHA also plays a critical role in financing for minority borrowers, borrowers who have troubled credit history, and borrowers who have little money to put down on a home. FHA mortgages allow for a low 3% down payment, have great interest rates due to being insured by the Federal Housing Administration, allow for less than perfect credit, and makes it much easier to qualify due to FHA insuring the home loan.
