FHA Loans
Perfect for first-time homebuyers or those with less-than-perfect credit or limited savings!
Insured by the Federal Housing Administration (FHA), these loans offer more flexible qualification requirements, including lower down payments and credit score minimums compared to conventional loans.
Why Choose an FHA Loan?
Buy a home with a down payment as low as 3.5% of the purchase price if your credit score is 580 or higher. Even borrowers with scores between 500-579 may qualify with a 10% down payment.
Qualify more easily with FHA's flexible credit guidelines, making homeownership accessible even if you've had past credit challenges. Gift funds can also be used for the down payment.
Key Features:
Low Down Payment: Minimum 3.5% down available.
Flexible Credit: Accessible for scores as low as 500/580.
Government-Insured: Protects lenders, enabling easier qualification.
MIP Required: Includes Upfront and Annual Mortgage Insurance Premium.
Ready to explore flexible financing?
See if an FHA Loan is right for you!
FHA Loan Frequently Asked Questions
Common questions Peak Capital Mortgage LLC answers for first-time homebuyers and borrowers exploring FHA financing.
What credit score do I need for an FHA loan?
FHA loans accept credit scores as low as 580 with a 3.5% down payment, or as low as 500 with a 10% down payment. While FHA guidelines allow these minimums, individual lenders may set their own overlays. Peak Capital Mortgage LLC works with multiple FHA lenders to match borrowers to the program that best fits their credit profile.
How much down payment is required for an FHA loan?
FHA loans require a minimum down payment of 3.5% for borrowers with a credit score of 580 or higher. Borrowers with credit scores between 500 and 579 must put down at least 10%. The down payment can come from your own savings, a gift from a family member, or qualifying down payment assistance programs. For a side-by-side comparison of how FHA and conventional loans differ on down payment, credit, and mortgage insurance, read our guide: FHA vs Conventional Loan, Which One Actually Makes Sense for You?
What is FHA mortgage insurance and how does it work?
FHA loans require Mortgage Insurance Premiums (MIP) which include a one-time Upfront MIP (UFMIP) paid at closing and an Annual MIP paid as part of your monthly payment. The MIP protects lenders against losses on FHA-insured loans, which is what allows FHA to offer flexible qualification requirements. The Annual MIP duration depends on your down payment amount and loan term.
Are FHA loans only for first-time homebuyers?
No. While FHA loans are popular among first-time homebuyers, they are not restricted to first-time buyers. Anyone who meets the credit, income, and property requirements may qualify, as long as the home will be used as a primary residence. FHA loans cannot be used to purchase investment properties or vacation homes.
Can I use gift funds for my FHA down payment?
Yes. FHA guidelines allow 100% of your down payment and closing costs to come from gift funds provided by a family member, employer, charitable organization, or government down payment assistance program. The gift must be properly documented with a gift letter, and the source of funds must be verified. Peak Capital Mortgage LLC can guide you through the documentation process.
Does Peak Capital Mortgage LLC offer FHA loans in all 13 states?
Yes. Peak Capital Mortgage LLC offers FHA loans across all 13 states we are licensed in: Alabama, Arizona, Colorado, Florida, Idaho, Kansas, Louisiana, Mississippi, Montana, New Mexico, South Dakota, Texas, and Wyoming. Call (970) 577-9200 to speak with an FHA loan specialist about your specific situation.
Take the Next Step?
Choose Your Path Forward
About Us
Our success has been built on competitive rates designed to meet your unique financing goals while delivering exceptional customer service. At Peak Capital Mortgage LLC, we pride ourselves on treating every client with honesty and integrity.
Company NMLS: 2347925
Licensed in: AL, AZ, CO, FL, ID, KS, LA, MS, MT, NM, SD, TX and WY
Navigation
Important Links
This is not a commitment to lend. All loans subject to underwriter approval. Terms and conditions apply, subject to change without notice
© Copyright 2026. Peak Capital Mortgage LLC. All Rights Reserved.