This table shows rates for FHA mortgages through U.S. Bank.
Term 30-year fixed - FHA
Rate
APR
Term 15-year fixed - FHA
Rate
APR
This table shows rates for FHA mortgages through U.S. Bank.
Term Rate APR
30-year fixed - FHA
15-year fixed - FHA

What is an FHA loan?

An FHA mortgage is a government-backed home loan with more flexible lending requirements than those for conventional loans. Because of this, interest rates for FHA mortgages may be somewhat higher, and the buyer may need to pay monthly mortgage insurance premiums along with their monthly loan payments.

FHA loans are insured by the Federal Housing Administration (FHA) and may have an easier qualification process due to less stringent down-payment and credit requirements than conventional mortgages. Note: If you're a current military member or veteran, you may be eligible for a VA home loan with little or no downpayment.

Benefits and considerations

Lower down payments

An FHA mortgage may require a down payment as low as 3.5 percent, although the interest rate may be somewhat higher than with a conventional mortgage.

Lower credit thresholds

One of the benefits of the FHA loan program is that home buyers may qualify even without a long credit history or outstanding credit.

Popular for refinancing

Many borrowers with newly adjusting ARMs look to refinance into fixed-rate FHA loans. Learn more about your refinance options.

Requirements and qualifications

  • Loan amount - FHA home loans have maximum mortgage limits that vary by state and county.
  • Down payment - FHA loan guidelines require a minimum down payment of 3.5 percent.
  • Property condition - FHA loans require that the home being purchased must meet certain conditions and be appraised by an FHA-approved appraiser. New FHA loans are available only for homes that will be used as the buyer's primary residence.

An FHA mortgage may be a good fit if your credit is not up to the requirements of a conventional loan or limited cash for a down payment, but other options exist. Compare mortgage options to learn more on your own, or contact a mortgage loan officer to find out which mortgage option is the best fit for you.