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 2023 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 2023, the FHA floor was set at $472,030 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 |
|---|---|---|---|
| $472,030 | $604,400 | $730,525 | $907,900 |
Also for 2023, the FHA ceiling was set at $1,089,300 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 |
|---|---|---|---|
| $1,089,300 | $1,394,775 | $1,685,850 | $2,095,200 |
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
August 9, 2023 - Ask any lender what questions they get about home loan approval, and you’ll get an earful. There are a lot of wrong assumptions about loan approval that prevent some from taking their first steps toward home ownership. Do you know what they are?
August 8, 2023 - If you plan to buy and renovate a home, you have multiple options, including using an FHA 203(k) rehab loan and FHA cash-out refinance options. But there are some important considerations before you decide which type of loan to choose and the size of your project.
August 7, 2023 - When you buy a house and start making FHA loan mortgage payments, you build equity in your property over time. The down payment helps start this process, and the lower your principal balance gets, the more equity you are likely to build.
August 6, 2023 - Many things can complicate an FHA mortgage, but there are steps borrowers can take or plan to take during the planning stages of the loan to help avoid them or reduce their impact on the transaction. We examine some of them below.
August 5, 2023 - How can you avoid common problems when buying a home with an FHA mortgage? Whether you want to buy a new home or refinance the one you are currently in, there are some steps you can take to prevent certain problems along the way.
August 4, 2023 - Deed restriction issues are old hat for those who have experience buying property. But if you’re a first-time home buyer, it might not occur to you to check the deed for special restrictions such as a maximum dwelling size or restrictions on property types.
August 3, 2023 - An important option to consider when looking to build a new home in Tennessee is utilizing the VA / FHA One-Time Close construction loan. Zillow® reports the TN medium home value reached $312,078 at the end of second quarter of 2023.
August 3, 2023 - There are some home loan options some won’t consider. A shorter loan term is one. In an era where lower monthly payments seem to be the priority for some borrowers more than saving money over the entire course of the loan, a longer loan term makes sense.
August 2, 2023 - Whether you need an FHA, VA, or conventional mortgage, there’s no one-size-fits-all loan. You might want to buy a mobile home, a condo unit, or you might want to build a house from the ground up on your own land.
August 1, 2023 - Investment properties can’t be approved for FHA mortgages for single families. You can buy a home up to four units large, but if you don’t plan on occupying the home, you won’t be approved for an FHA mortgage.
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!
