FHA Loan Calculator
Calculate FHA loan payments, mortgage insurance premiums, and eligibility requirements with detailed government-backed mortgage analysis.
Loan Details
Minimum 3.5% for FHA loans ($12,250)
Minimum 580 for 3.5% down, 500-579 requires 10% down
Monthly Costs & Income
FHA Loan Analysis & Eligibility
Monthly Payment
$2,907.784
PITI + MIP
Front-End Ratio
34.2%
Max 31% for FHA
Back-End Ratio
41.9%
Max 43% for FHA
Monthly MIP
$239.24
Loan life
FHA Eligibility Check
Upfront Costs
FHA vs Conventional Comparison
Monthly Payment Breakdown
Amortization & Key Insights
What is FHA Loan Calculator?
Understanding FHA Loans
FHA (Federal Housing Administration) loans are government-backed mortgages designed to help homebuyers with lower down payments and more flexible credit requirements. These loans are particularly beneficial for first-time homebuyers and those with limited savings or credit challenges.
FHA Loan Requirements
Basic Eligibility
- • Minimum credit score: 580 (3.5% down)
- • Credit score 500-579: 10% down required
- • Primary residence only
- • U.S. citizenship or permanent residency
- • Steady employment history (2+ years)
- • Debt-to-income ratio ≤ 43% (31% housing ratio)
Property Requirements
- • FHA appraisal required
- • Property must meet safety standards
- • Within FHA loan limits for area
- • 1-4 unit residential properties
- • Condos must be FHA-approved
- • No investment properties allowed
Mortgage Insurance Premium (MIP)
FHA loans require mortgage insurance to protect lenders against default. This consists of both upfront and annual premiums:
Upfront MIP
1.75% of the loan amount, typically financed into the loan. For a $300,000 loan, this equals $5,250.
Annual MIP Rates (2024)
| Loan Term | LTV ≤ 95% | LTV > 95% |
|---|---|---|
| ≤ 15 years | 0.45% - 0.70% | 0.70% - 0.95% |
| > 15 years | 0.80% - 1.05% | 0.85% - 1.10% |
MIP Removal Rules
Current MIP Removal Policy
- • Loans with LTV > 90%: MIP for life of loan
- • Loans with LTV ≤ 90%: MIP removed after 11 years
- • 15-year loans: MIP removed when LTV reaches 78%
- • Refinancing may be only option to remove MIP on 30-year loans
FHA vs Conventional Loans
When FHA is Better
- • Limited savings for down payment
- • Credit score below 740
- • Higher debt-to-income ratios
- • Non-traditional income sources
- • Recent credit events (bankruptcy, foreclosure)
When Conventional is Better
- • 20%+ down payment available
- • Excellent credit score (740+)
- • Low debt-to-income ratios
- • Investment property purchase
- • Loan amount exceeds FHA limits
FHA Loan Limits
FHA loan limits vary by county based on local median home prices. The 2024 limits are: