What does FHA stand for?
Federal Housing Administration. FHA is part of HUD, which stands for the Department of Housing and Urban Development (we love our acronyms in the mortgage industry).
What is the FHA loan limit?
The 2024 FHA loan limit for a single-family home/townhouse/condo in most of the country is $498,257. In high-priced areas, such as Nashville, the limit is higher.
FHA Loan limits vary county by county and increase with the number of units in the property. Ask one of our local mortgage bankers for more details about your area.
How does FHA mortgage insurance work?
FHA requires a two-part mortgage insurance structure with an upfront premium and an annual premium which cannot be cancelled. The upfront mortgage insurance premium (UFMIP) is a set percentage of the loan amount and the annual premium varies based on the loan amount, down payment, and length of the loan term.