FHA Loan Requirements for 2026
580 Credit Score -and- 3.5% Down Payment
The FHA loan program lets you purchase a home with a low down payment and flexible guidelines. FHA refinance mortgages are a great option for those who want to lower their monthly mortgage payment or consolidate their bills.
See how we make the American dream a reality. Whether you're a first-time homebuyer moving to a new home, or want to refinance your existing conventional loan to an FHA mortgage, there's an FHA program suited to your needs. With no income limits or credit scoring, many people who can afford the monthly mortgage payments and have reasonable credit will qualify for an FHA mortgage.
FHA Loan Articles
April 21, 2026House hunters new to home loans soon discover there are major differences between FHA and conventional loans. One of those big differences is the minimum down payment: FHA loans require a minimum down payment of 3.5% for borrowers with a credit score of 580 or higher. While some conventional loans through Fannie Mae and Freddie Mac offer 3% down programs for first-time buyers, these programs come with stricter requirements.
April 16, 2026What is a second mortgage? It's basically a subordinate lien on the original FHA loan, with the down payment assistance being the most common reason a borrower might need this option. It is true that the FHA 3.5 percent down payment is a relatively low requirement, but it represents a large cash outlay that some borrowers struggle to raise. Many state and local housing authorities offer second mortgages to cover a home loan's down payment and/or closing costs. It's not the only use for a second mortgage, but it's an important one.
April 15, 2026FHA loan rules prohibit balloon payments on single family home loans, requiring that they be fully paid off at the end of the loan term. This is designed to protect borrowers from a risky arrangement that requires a larger lump-sum payment upon the loan's full maturity. While some borrowers may not initially know whether they want a conventional or an FHA mortgage, understanding why a balloon payment is a higher risk option is an important part of making the most informed decision you can about the type of mortgage you apply for, the loan term, and other factors.
April 14, 2026When you buy a home with an FHA mortgage or any other type of loan, there are certain disclosures your lender must provide you with to make sure you fully understand the costs involved, how much you are committing to, and what you must bring to the table on closing day. What do you need to know about these disclosures and why they are important? We examine some key points, but note that receiving these disclosures alone is not enough. The borrower must review them carefully to ensure there are no major changes to the amounts, terms, or conditions.
March 31, 2026The Federal Housing Administration (FHA) loan program is a major alternative to conventional loans, which often require a higher down payment. If you are buying your first home, chances are good that you've already learned about conventional home loan financing and higher down payment and higher credit score demands that some first-time buyers cannot meet.
