Types Of FHA Loans

Many people are familiar with FHA loans. They are mortgages which are backed by HUD, a division of the US government, and are commonly used to purchase or refinance single family homes. Some of the advantages over conventional financing are that only a low downpayment is required, and FHA loans can be easier to qualify for.

You might not be aware of several specialty FHA loan programs, that can be an excellent fit for certain scenarios. These include:

Energy Efficient Mortgage Program
This loan allows the homeowner to finance the cost of certain energy efficient improvements into their mortgage.

Rehab Loan - 203(k)
Ideal for someone who wants to buy a "fixer-upper" but doesn't have the cash on hand needed to do the work on the property. This fha mortgage allows the homeowner to finance the cost of renovating the house into the home loan.

FHA Condo Loans
Used to buy or refinance a unit in a condominium project. The condo community must meet eligibility requirements in addition to the homeowner and the specific property.

Manufactured Home Loans on Owned Land Vs. Leased Land
There are two programs available - one finances both the land and the home, and the other finances just the mobile home when the land is rented (such as in a mobile home park or community.)

FHA Reverse Mortgage
This special program for seniors 62 or older to tap into the equity in their home to be used for living expenses without selling their home.