FHA
loans
offer a
loan
guarantee
for
mortgage
companies.
If you
acquire
a FHA
loan to
purchase
a home,
the FHA
is not
actually
lending
money to
you, the
buyer;
the FHA
simply
guarantees
the
lender
in case
you, the
borrower,
default
on your
mortgage
payments.
You
can pay
as
little
as a 3%
of the
purchase
price of
your
home for
your
down
payment,
and
finance
your
closing
costs
with
your
mortgage
loan.
The FHA
can
guide
you
toward
programs
that
require
no down
payment.
You
can
purchase
a home
in need
of
repairs
and
finance
the
repair
costs
with the
mortgage.
This way
you can
make the
necessary
repairs
immediately
without
having
to come
up with
the
money
yourself.
You
can
purchase
manufactured
homes
and
condominiums
with a
FHA
loan.
You
can
finance
the cost
of
energy-efficient
repairs
with the
mortgage.
