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Mortgage Glossary

Federal Housing Administration

Defined by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker

The Federal Housing Administration, or FHA, insures loans made by approved lenders. That insurance lets them offer low down payments.

What Federal Housing Administration means

FHA loans help buyers with lower credit or smaller savings. It is one of the most flexible programs.

Florida example

A first-time Florida buyer may use an FHA loan. It opens the door with just 3.5% down.

What it is

The Federal Housing Administration, or FHA, insures loans made by approved lenders. That insurance lets lenders offer low down payments.

FHA loans help buyers with lower credit or smaller savings.

Why it matters

FHA backing opens the door for many first-time and credit-challenged buyers. It is one of the most flexible programs.

We help you use FHA the smart way. Reach out and we will see if it fits your goals.

Related program: Learn more →

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Official resources

Verify the details for your own situation against these government and agency sources: HUD FHA loan program and HUD Handbook 4000.1 (FHA rules).

Related Mortgage Terms

Federal ReserveThe Federal Reserve is the U.S. central bank, and its monetary policy strongly influences the interest-rate environment in which mortgage rates move.FHA LoanAn FHA loan is a mortgage insured by the Federal Housing Administration, built for borrowers with lower credit scores or smaller down payments.FICO ScoreA FICO score is the most widely used credit score in mortgage lending, ranging from 300 to 850 and based on your credit history.
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