Did You Know?

FHA loans are one of the best options for young, first-time home buyers who have not had as much time to save for a large down payment or establish a high credit score.

Get an FHA Refinance Loan
Get an FHA Purchase Loan
Get an FHA Refinance Loan
Get an FHA Purchase Loan
Click to Start Your Refinance or Purchase Loan

What to Know About the FHA Handbook

What to Know About the FHA Handbook
The FHA Handbook, officially known as the "FHA Single Family Housing Policy Handbook," is a comprehensive guidebook published by the Federal Housing Administration. It serves as a crucial resource for mortgage lenders, appraisers, underwriters, and other professionals involved in the origination and servicing of FHA-insured home loans.

The FHA Handbook outlines the policies and requirements for FHA-insured mortgages, which are popular among first-time homebuyers and borrowers with lower credit scores or smaller down payments. It provides detailed instructions and guidelines on various aspects of the FHA loan program, including eligibility criteria, underwriting standards, property appraisal requirements, and mortgage insurance.

Key components covered in the FHA Handbook include:

Eligibility Requirements
The handbook explains who is eligible for an FHA loan, including minimum credit score requirements, debt-to-income ratios, and down payment guidelines.

Property Standards
It describes the property requirements that must be met for a home to qualify for FHA financing. This includes guidelines for the condition and safety of the property.

Appraisal Guidelines
The FHA Handbook outlines the specific requirements for property appraisals, ensuring that the property's value is accurately determined.

Credit Underwriting
It provides guidance on how lenders should assess the creditworthiness of FHA loan applicants, including requirements for handling credit issues and disputes.

Mortgage Insurance
Details on FHA mortgage insurance premiums, including both upfront and annual premiums, are included.

Closing and Settlement Costs
Information on allowable and non-allowable fees and costs for the borrower, as well as the seller's contributions.

Loan Origination and Processing
Guidelines for the processing of FHA loan applications, including required documentation and borrower verification.

Servicing and Loss Mitigation
Information on loan servicing requirements and how to handle delinquencies and foreclosures.

The FHA Handbook is periodically updated to reflect changes in FHA policies and industry best practices. Lenders and other professionals involved in FHA lending are required to adhere to the guidelines outlined in the handbook to ensure that loans meet FHA standards and qualify for FHA insurance.


There's a Difference Between APR and Interest Rates
Choose Your Mortgage Lender Carefully
Getting Started With Your FHA Loan Application
See Your Credit Scores From All 3 Bureaus
See Your Credit Scores From All 3 Bureaus

FHA Loan Articles

When not to Consider Refinancing a Home

There are plenty of reasons to delay plans to refinance a home. One reason has made big headlines. When borrowers face higher interest rates than originally approved for, that is a good reason to wait to refinance.

How FHA Construction Loan Draw Disbursements Work

When you are approved for an FHA One-Time Close Construction loan, you get a single loan that pays for both the costs to build the house, and serves as the mortgage. One application, one approval process, and one closing date.

Mortgage Rate Predictions for 2024

In the last days of November 2023, mortgage loan rates flirted with the 8% range but have since backed away, showing small but continued improvement. What does this mean for house hunters considering their options to become homeowners soon?

Is It Cheaper to Buy a Home With an FHA Loan or to Rent?

In May 2023, USA Today published some facts and figures about the state of the housing market in America. If you are weighing your options for an FHA mortgage and trying to decide if it’s cheaper to buy or rent, your zip code may have a lot to do with the answers you get.

Why Do FHA Loans Have Borrowing Limits?

FHA loan limits serve as a crucial mechanism to balance financial sustainability, regional variations in housing costs, and the agency's mission to promote homeownership, particularly for those with limited financial resources.

FHALoan.com is not a government agency. We do not offer or have any affiliation with loan modification, foreclosure prevention, payday loan, or short term loan services. Neither FHALoan.com nor its advertisers charge a fee or require anything other than a submission of qualifying information for comparison shopping ads. We do not ask users to surrender or transfer title. We do not ask users to bypass their lender. We encourage users to contact their lawyers, credit counselors, lenders, and housing counselors.

SecureRights Advertiser Contact Information