FHA Loans: The Complete Guide for First-Time Home Buyers

If you're a first-time home buyer with limited savings or a less-than-perfect credit score, FHA loans might be your ticket to homeownership. These government-backed mortgages have helped millions of Americans buy their first homes, and they could be the perfect solution for your situation too. An FHA loan is a mortgage insured by the Federal Housing Administration, a government agency created during the Great Depression to help more Americans become homeowners. While the FHA doesn't lend money directly, it guarantees loans made by approved lenders, reducing their risk and allowing them to offer more flexible terms to borrowers. The key advantage? FHA loans require smaller down payments and accept lower credit scores than conventional mortgages. This makes homeownership accessible to people who might not qualify for traditional financing. FHA loans are available for various property types including single-family homes, multi-unit properties (up to four units), condos, and manufactur