FHA loans are government-backed mortgages that make homeownership more affordable for borrowers with limited down payment funds and less-than-stellar credit histories. However, the Federal Housing Administration (FHA) limits how much you can borrow, and the numbers change every year. In this article: What is an FHA loan limit? An FHA mortgage loan limit is the maximum amount you can borrow with an FHA loan. This number varies by county and property type. Typically, it’s lower for one-unit properties and ...

Since its creation in 1934, the Federal Housing Administration (FHA) has insured home loans so lenders are financially protected should you default on your mortgage payments. This makes it more attractive for lenders to issue mortgages — especially to first-time home buyers and low-to-moderate-income households, making homeownership possible for borrowers who may not otherwise qualify for a loan. Potential borrowers must understand these requirements to increase their chances of being approved for an FHA m ...