• FHA loans- A FHA loan is insured by the Federal Housing Administration, a federal agency within the U.S. Department of Housing and Urban Development (HUD). The FHA does not loan money to borrowers, rather, it provides lenders protection through mortgage insurance (MIP) in case the borrower defaults on his or her loan obligations. Available to all buyers, FHA loan programs are designed to help creditworthy low-income and moderate-income families who do not meet requirements for conventional loans.

    Other benefits of FHA financing:

    -Only a 3.5% down payment is required.

    -More flexible underwriting criteria than conventional loans.

    -Loans are assumable to qualified buyers.