The Federal Housing Administration is abbreviated as FHA. The FHA mortgage insurance gives lenders protection against loss if a FHA homeowner defaults on their loan. The actual loan is made by a private lender, the FHA only insures it. Loans must meet the FHA requirements to qualify for this insurance. FHA and HUD have insured more than 34 million homes since 1934. The maximum loan amount for a single family FHA home varies by county, and is typically $200,000 to $250,000.
Applicants that are delinquent on a federal debt, such as a student loan are not eligible for a FHA loan. Other credit guidelines apply
The FHA loan is not the best type of loan for every customer. The interest rate on a FHA loan is negotiable.
FHA Loan Information