The FHA loan: a lower bar to your first set of keys.
Insured by the Federal Housing Administration, this is the loan most first-time buyers reach for — a smaller down payment, more forgiving credit requirements, and a process lenders know inside and out.
Is a FHA loan right for you?
FHA loans exist to make homeownership reachable earlier. Here's how to tell if it fits where you are right now.
This is a strong fit if
- You're buying your first home, or haven't owned in the last few years
- Your credit score is solid but not spotless — think 580 and up
- You have 3.5% saved for a down payment (or 10% with a lower score)
- You want predictable, well-documented underwriting
Worth a second look if
- You have 20% or more to put down and strong credit — conventional may cost less long-term
- You're buying an investment property or second home
- You want to avoid mortgage insurance for the life of the loan
How the FHA loan grows
FHA underwriting is built to be predictable. These are the four things every FHA file comes back to.
Down payment
As little as 3.5% down with a credit score of 580 or higher; 10% down opens the door with scores as low as 500.
Credit & debt-to-income
FHA guidelines are more forgiving of past credit bumps and higher debt loads than most conventional programs.
Upfront & annual MIP
An upfront mortgage insurance premium is added at closing (often financed in), plus an annual premium built into your monthly payment — frequently for the life of the loan.
FHA loan limits
Ohio counties each have a maximum FHA loan amount, set annually — we'll confirm the current limit for the county you're buying in.
The numbers, at a glance
How it stacks up against other paths
Common questions
Is FHA only for first-time buyers?
No — anyone can use an FHA loan, though it's especially popular with first-time buyers because of the lower down payment and credit flexibility.
Can I ever remove the mortgage insurance?
If you put down less than 10%, MIP typically stays for the life of the loan. Many buyers refinance into a conventional loan once they've built enough equity to drop it.
Are there limits on the home price?
Yes, FHA sets a maximum loan amount per county each year. We'll check the current limit against the homes you're considering.
Can gift funds cover my down payment?
Yes, FHA allows the full down payment to come from a gift, which is one reason it's popular with buyers getting help from family.
Let's find out what you actually qualify for
Every buyer's situation is different. Send us a few details and a HomeRoots Group agent will walk you through your real numbers — no pressure, no obligation.
This page is for general information and isn’t a loan offer or commitment. Rates, terms, and eligibility are set by lenders and program guidelines and can change.