An FHA loan is a mortgage insured by the Federal Housing Administration and offered through approved lenders. Because the government provides mortgage insurance, FHA financing can offer qualifying borrowers more flexible lending requirements than some conventional loan options.

One of the biggest advantages is the potential for a lower down payment. Qualified borrowers may be able to put down as little as 3.5%, depending on their credit profile and other requirements.

FHA loans aren't limited exclusively to first-time homebuyers, either. They can be worth considering for a range of buyers who meet the program's eligibility requirements and are looking for an alternative to conventional financing.

There are also important costs and requirements to understand, including FHA mortgage insurance and applicable loan limits. We'll help you compare the numbers and determine whether an FHA loan makes sense for your home-buying plans.