What's the minimum credit score for an FHA loan?

Our FHA program requires a credit score of 580 or higher, which qualifies you for the minimum 3.5% down payment.

How much is FHA mortgage insurance (MIP)?

FHA MIP consists of two parts: an upfront premium of 1.75% of the loan amount (which can be financed into the loan) and an annual premium of 0.55% for most loans (paid monthly). Unlike conventional PMI, FHA MIP typically remains for the life of the loan if your down payment is less than 10%.

Can I use an FHA loan to buy an investment property?

No. FHA loans are for primary residences only. However, you can purchase a 2–4 unit property with an FHA loan if you live in one of the units. Rental income from the other units may help you qualify.

Can I remove FHA mortgage insurance?

If you put less than 10% down, FHA MIP stays for the life of the loan. The most common way to remove it is to refinance into a conventional loan once you have sufficient equity. If you put 10% or more down, MIP can be removed after 11 years.

Are FHA rates higher than conventional rates?

FHA interest rates are generally competitive with conventional rates, and sometimes even lower. However, when you factor in the mandatory MIP, the total cost of an FHA loan may be higher than a conventional loan for borrowers with strong credit.

FHA Loan | MtgPro.ai

FHA Loan

580+ credit. Up to 80% LTV cash out, 97.5% LTV rate and term

FHA loans are insured by the Federal Housing Administration and designed for borrowers with lower credit scores or limited down payments. A popular choice for first-time homebuyers.

Get My Strategy Run the Numbers

About 60 seconds leftNo hard credit pull

What's your primary goal?

Pick the one that sounds most like you.

Reviewed personally by Arran Amorozo · NMLS #1491497 · West Capital Lending

No credit check to complete this quiz · your info is never sold

Rather just talk? Call or text us at (949) 401-7593

60 seconds · no hard credit pull

FHA loans are insured by the Federal Housing Administration and designed for borrowers with lower credit scores or limited down payments. A popular choice for first-time homebuyers.

Run the Numbers

Key Advantages

Why Choose a FHA?

Here's what sets this loan product apart and who it works best for.

3.5% Down Payment

One of the lowest minimum down payments available: just 3.5% for borrowers with 580+ credit.

More Flexible Credit

FHA guidelines allow credit scores from 580, which is lower than conventional guidelines.

Higher DTI Allowed

FHA lenders may accept debt-to-income ratios up to 57% with compensating factors.

Gift Funds Accepted

Your entire down payment can come from gift funds from family or approved sources.

Calculator

Purchase Calculator

Estimate your monthly payment for a home purchase.

Home Price$500K

$100K$2.0M

Down Payment10%

3%25%

Interest Rate

Enter the rate you want to model. We don’t advertise rates; your pricing is quoted individually.

Loan Term

Enter an interest rate above to see your results.

Calculator results are estimates only and do not constitute a loan offer, pre-approval, or commitment to lend. Actual terms may vary.

Eligibility

Qualification Requirements

General guidelines for FHA Loan eligibility. Requirements vary by lender and scenario.

Requirement	Guideline
Minimum Credit Score	580+
Minimum Down Payment	3.5%
Max LTV	80% LTV cash out, 97.5% LTV rate and term
MIP Required	Upfront (1.75%) + Annual MIP for life of loan
Property Type	Primary Residence only
Debt-to-Income	Up to 57% with compensating factors

These are general guidelines only. Specific program requirements may vary. Contact us for a personalized review of your scenario.

FAQ

Frequently Asked Questions

Common questions about FHA Loan loans.

Get Started Today

Ready to explore FHA Loan?

Answer a few quick questions and get a personalized strategy recommendation, including whether FHA is right for your situation.

Build My Strategy Talk to Arran

FHA-approved lender. Not affiliated with or acting on behalf of HUD/FHA.

West Capital Lending, Inc. is an Equal Housing Lender. We do not discriminate on the basis of race, color, religion, national origin, sex, handicap, or familial status.

Explore More

Related Loan Products

Explore other products that may complement your strategy.

Conventional Loan

680+ credit. Up to 80% LTV cash out, 95% LTV rate and term

Conventional loans conform to Fannie Mae and Freddie Mac guidelines and cover most purchase scenarios, with loan limits up to $766,550 (and higher in high-cost areas).

Learn more

VA Loan

Veterans and active duty: 0% down, no PMI, up to 100% LTV

VA loans are one of the most powerful mortgage benefits available to eligible veterans, active-duty service members, and surviving spouses. No down payment and no PMI.

Learn more

Purchase Loan

Get pre-approved for your next home

Whether this is your first home or your fifth, a purchase loan gets you across the finish line. Take the quiz, then continue to the full application and fill it out thoroughly, so we can get you the most accurate pre-approval and the highest qualification.

Learn more