FHA loans

FHA loans generally are ideal for Mid to Low income borrower. The borrower can borrow 96.5% of the total value of the home. It does not require a large down payment. Only 3.5% is required as a down payment. Which means it is a great option for first time home buyers. The down payment can come from the borrower’s retirement plan, and government grants as well. These loans are insured by the Federal Housing Administration.