Editor’s note: This article was updated in 2024 to include the latest down payment rules and requirements for FHA loans, based on current HUD guidelines. There have been no significant program changes over the past couple of years. The 3.5% rule remains in effect, as explained below. The FHA loan program is popular among home […]
How do FHA appraisers determine the market value of a house?
This is part of an ongoing series in which we answer frequently asked questions relating to FHA home loans. Today’s question comes to us from a reader in San Diego. Elizabeth asks: “How does the FHA appraiser determine the market value of the house I’m buying? What steps are involved in the process of determining […]
Who Pays for the FHA Home Appraisal? Buyer, Seller or Lender?
Home buyers tend to have a lot of questions about the Federal Housing Administration (FHA) home loan program. In particular, we receive a lot of questions relating to the home appraisal process. A frequently asked question is: Who pays for the FHA appraisal? Does the buyer always pay for it? Or can the mortgage lender […]
FHA Appraisal Timeline: When Does the House Get Appraised?
How does the FHA appraisal timeline work? When does the house get appraised? What does the appraiser look for during his visit, and who pays for the appraisal? These are some of the most common questions among home buyers who use FHA-insured mortgage loans to buy a house. Today, we’ll take a look at the […]
Fact: FHA Home Loans Are Not Just for First-Time Home Buyers
Here’s a question we get a lot: Are FHA loans just for first-time home buyers, or can anyone use them to buy a house? The short answer is no, FHA loans are not reserved solely for first-time buyers. Any borrower who meets the minimum qualification criteria for this program can use it to buy a […]
FHA Swimming Pool Requirements for Inspection / Appraisal
Reader question: “We want to buy a home that has a swimming pool, if at all possible. And we’re planning to use an FHA loan so we can get the 3.5% down payment option. What are the FHA requirements for swimming pools? Does the inspection and appraisal process include the pool, or just the house?” […]
Can My FHA Loan Down Payment Be Gifted from Family or a Friend?
We have started a new blog-post series that will answer some of the most frequently asked questions relating to FHA-insured mortgage loans. Today’s question is: Can my FHA down payment be gifted from a family member in 2017? Can My FHA Down Payment Be Gifted? The short answer is yes, in 2019 the minimum required […]
Chart: FHA Annual Mortgage Insurance Premiums (MIP) for 2019
At a glance: Most FHA borrowers pay an annual MIP of 0.85% for the full term of the loan, or up to 30 years. FHA mortgage insurance premiums (MIPs) can be somewhat confusing to home buyers. There are several reasons for this. First of all, there are two different kinds of premiums, and they are […]
Overview of the FHA Closing Process for Home Buyers
Closing is the final step in the FHA home buying process. This is when the buyers sign all remaining paperwork, pay their closing costs and fees, and get the keys to their new house. Hooray! But what actually happens during the FHA closing? What should a home buyer know about this process, in order to […]
MIP Cancellation: How to Remove FHA Mortgage Insurance in 2022
Editor’s note: This article was update in April 2022 to reflect current policies and guidelines regarding MIP cancellation. Over the years, we have received a lot of questions about canceling mortgage insurance on FHA loans. People want to know: How do I cancel the annual MIP attached to my FHA loan? How long before I […]