FHA Loans Florida
Florida's most popular first-time buyer loan. 3.5% down, 580+ FICO, and competitive FHA mortgage rates. Serving all 67 Florida counties. Licensed FHA mortgage broker NMLS# 1859012.
What Is an FHA Loan in Florida?
FHA loans are the most popular home loan program for first-time buyers in Florida. FHA's flexible underwriting guidelines make it accessible to borrowers who may not qualify for conventional financing.
The Federal Housing Administration insures FHA loans. That's what allows lenders to offer lower down payments (3.5%) and more flexible credit requirements (580+) than conventional mortgages. FHA loans can be combined with Florida Hometown Heroes DPA, cutting your out-of-pocket costs to as little as $2,000–$5,000 at closing.
FHA does come with mortgage insurance. The upfront premium is 1.75%. The annual MIP is 0.55% on 30-year loans with under 10% down. If you have a 620-plus FICO and 5% or more to put down, conventional is often the cheaper path. We run a side-by-side comparison to show you which one actually saves more over time.
FHA vs. Conventional: Which Is Right for You?
The right choice depends on your credit score, down payment, and how long you plan to stay in the home. FHA wins for lower scores and minimal down payments. Conventional wins when you have stronger credit and can avoid monthly PMI.
| Feature | FHA Loan | Conventional Loan |
|---|---|---|
| Minimum Down Payment | 3.5% (580+ FICO) | 3% first-time / 5% repeat |
| Minimum Credit Score | 500 (10% down) / 580 (3.5% down) | 620 recommended |
| Mortgage Insurance | Required — upfront + monthly MIP | PMI only if <20% down; cancellable |
| Loan Limits (Palm Beach Co.) | $524,225 (2026) | $766,550 (2026) |
| Seller Concessions | Up to 6% | Up to 3% (≤10% down) |
| Debt-to-Income Ratio | Up to 57% with compensating factors | Typically 45–50% max |
| DPA Compatibility | Excellent — stacks with Hometown Heroes | Good — some restrictions apply |
| Best For | First-time buyers, lower credit scores | Strong credit, 5%+ down, long-term hold |
Loan limits and guidelines current as of 2026. Rates and terms vary. FHA limits source: HUD.gov · Conventional limits source: FHFA.gov
How to Get an FHA Loan in Florida
Stack FHA with Florida DPA Programs
One of FHA's biggest advantages is its compatibility with Florida's down payment assistance programs. Because FHA guidelines explicitly allow DPA second mortgages, you can effectively reduce your out-of-pocket costs to near zero.
For example, a $350,000 FHA purchase normally requires $12,250 down. Combined with the Hometown Heroes DPA ($17,500 for first responders, teachers, and healthcare workers), you could close with no money down. The DPA covers both your down payment and a portion of closing costs.
Get Your FHA Pre-Approval in Florida
3.5% down · Same-day letter · Licensed FL FHA mortgage broker NMLS# 1859012
Rates are illustrative only. APR and payments vary by credit score, loan amount, and market conditions. Subject to credit approval. Not a commitment to lend. NMLS# 1859012. Equal Housing Lender.