This is part of an ongoing blog series in which we answer common questions about FHA loans. Today’s question is: Can I use an FHA loan to buy a duplex-style home with two units? The short answer is yes, an FHA-insured mortgage loan can be used to purchase a duplex property, as long as you […]
FHA Down Payment Requirements in 2024: The Definitive Guide
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 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?” […]
FHA Down Payment Gifts and Gift Letter Requirements
The FHA loan program requires borrowers to make a down payment of at least 3.5%. But it also allows you to use gift money from an approved third party, like a friend or family member. The gifted funds can be applied to your down payment or closing costs. This guide explains the rules and requirements […]
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 […]