FHA Loans
Buy sooner with a low down payment.
FHA loans are insured by the Federal Housing Administration, so lenders can approve lower credit scores and smaller down payments. A strong fit for first-time buyers and anyone rebuilding credit.
- Low down payment options
- Gift funds allowed for the down payment
- More forgiving of past credit problems
No credit pull and no obligation. Prefer to talk? Call or text (949) 910-3943.
At a glance
- Down payment
- Low down payment options
- Minimum credit score
- 580, or 500 with a larger down payment
- Mortgage insurance
- Upfront and monthly
- Property types
- Primary home, 1 to 4 units
Why FHA
Built for buyers who are almost there
FHA guidelines leave more room for limited savings, a thinner credit history or a past setback.
Low down payment
A low down payment with a credit score of 580 or higher.
Flexible credit
Scores from 500 to 579 can qualify with a larger down payment. Individual lenders may set higher minimums, which is why it helps to shop.
Gift funds welcome
Your entire down payment can come from a gift from family or another approved source.
Room in your budget
FHA often allows a higher debt-to-income ratio than conventional loans when other parts of your file are strong.
Buy a multi-unit
Buy a property with up to four units, live in one and rent the others.
Assumable
A qualified buyer can take over your FHA loan later, which can help you sell if your rate is below the market.
Compare
FHA vs. conventional vs. VA
How the three most common loans compare.
| FHA | Conventional | VA | |
|---|---|---|---|
| Minimum down payment | Low | Low | None for most eligible buyers |
| Mortgage insurance | Required, often for the life of the loan | With a smaller down payment, removable later | None |
| Upfront fee | Upfront premium, usually financed | None | VA funding fee, waived if exempt |
| Typical minimum credit score | 580 for the minimum down payment | 620 with most lenders | No VA minimum, lender sets its own |
| How you can use the home | Primary residence | Primary, second home or investment | Primary residence |
Typical program terms. Your down payment, rate and fees depend on your full profile.
Want to see an FHA payment at your price range?
The cost to know
FHA mortgage insurance
FHA loans carry two mortgage insurance charges. Both are built into the loan, so they do not have to come out of pocket at closing.
| Cost | Details | |
|---|---|---|
| Upfront premium | A one-time premium set by FHA | Usually financed into the loan |
| Annual premium | Annual premium set by FHA, based on your loan amount, down payment and term | Paid monthly as part of your payment |
| How long it lasts | Life of the loan with a smaller down payment | 11 years with a larger down payment |
Many FHA borrowers refinance into a conventional loan later to drop mortgage insurance once they have enough equity.
Qualifying
Do you qualify?
Typical requirements
- Credit score of 580 for the minimum down payment, or 500 to 579 with a larger down payment
- Debt-to-income ratio generally up to 43%, higher with strengths elsewhere in your file
- A steady two-year employment or income history
- The home will be your primary residence
- The home meets FHA appraisal and safety standards
What you will need
- Recent pay stubs and two years of W-2s
- Two years of tax returns if you are self-employed
- Two months of bank statements
- A government-issued photo ID
- A gift letter if someone is helping with your down payment
The process
From first call to keys in hand
Tell me your goals
A short form or a ten-minute call. No credit pull to get started.
Get pre-approved
I review your income, assets and credit and issue a pre-approval you can shop with.
Find the home
Make an offer with confidence. I will call the listing agent to back it up if that helps you win.
Appraisal to closing
Appraisal, underwriting and closing. I keep you updated at every step.
Common questions
FHA loan questions, answered
Is FHA only for first-time buyers?
No. Repeat buyers can use FHA too, as long as the home will be their primary residence.
What are the FHA loan limits?
They vary by county. For 2026 the limit for a one-unit home ranges from $541,287 in lower-cost areas to $1,249,125 in high-cost counties such as Orange County.
Can I qualify after a bankruptcy or foreclosure?
Often yes, after a waiting period: generally two years after a Chapter 7 discharge and three years after a foreclosure, with credit re-established since then.
Can the seller help with my closing costs?
Yes. FHA allows the seller to contribute up to 6% of the price toward your closing costs and prepaid items.
Can I get rid of FHA mortgage insurance?
With a smaller down payment it stays for the life of the loan, so most people remove it by refinancing into a conventional loan once they have built equity.
Ready to see what you qualify for?
Tell me a little about your situation and I will come back with your numbers and a clear next step.
Not affiliated with or endorsed by HUD, the FHA or any government agency. This is general information, not a loan offer, rate quote or commitment to lend. Program terms, fees and eligibility can change and depend on your credit, income, property and lender guidelines. Mack Davidson, NMLS #1006831, CA DRE #02086053, E Mortgage Capital, Inc., NMLS #1416824. Equal Housing Opportunity.