Best Lenders for FHA Loans in December 2023
FHA loans have down payment requirements as low as 3.5%. Compare some of the top FHA lenders to find the right fit for your needs.
Some or all of the mortgage lenders featured on our site are advertising partners of NerdWallet, but this does not influence our evaluations, lender star ratings or the order in which lenders are listed on the page. Our opinions are our own. Here is a list of our partners.
You might think all Federal Housing Administration-approved lenders are the same. But when you’re looking for an FHA loan, it’s smart to compare at least three lenders to find the best deal. Mortgage rates and fees vary among lenders, as do requirements for borrowers.
NerdWallet has picked some of the best FHA lenders in a variety of categories to help you get started.
» MORE: Compare FHA mortgage rates
Best Lenders for FHA Loans in December 2023
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5.0 /5 | 620 | 3.5% | ||
5.0 /5 | 580 | 3.5% | Top 3 most visited 🏆 Learn moreat Pennymacat Pennymac | |
 Rocket Mortgage, LLC: NMLS#3030 Top 3 most visited 🏆 Learn moreat Rocket Mortgage, LLCat Rocket Mortgage, LLC | 5.0 /5 | 580 | 3.5% | Top 3 most visited 🏆 Learn moreat Rocket Mortgage, LLCat Rocket Mortgage, LLC |
5.0 /5 | 580 | 3.5% | Learn moreat Guaranteed Rate at Guaranteed Rate | |
 Bethpage Federal Credit Union: NMLS#449104 Learn moreat Bethpage Federal Credit Union at Bethpage Federal Credit Union | 5.0 /5 | 580 | 3.5% | Learn moreat Bethpage Federal Credit Union at Bethpage Federal Credit Union |
- Offers government-backed loans and some harder-to-find products, such as construction loans and specialty mortgages for pilots.
- Offers low rates and fees compared with other lenders, according to the latest Federal data.
- Displays customized rates, with fee estimates, without requiring contact information.
- HELOCs and construction-to-permanent loans are available only in the Kansas City metro area.
- Offers a wide variety of loan products, including government-backed and refinance options.
- Displays custom rate quotes based on home value, down payment or equity, ZIP code and credit score range.
- “Lock & Shop” lets you secure a rate for up to 60 days, even if you don’t have a purchase contract yet.
- Origination fees are on the higher end, according to the latest federal data.
- Doesn't offer home equity lines of credit or renovation loans.
- Streamlined online process with document and asset retrieval capabilities, as well as the ability to edit your preapproval letter.
- Mortgage interest rates are on the low side compared to other lenders, according to the latest federal data.
- Offers the option to work with loan officers by phone if desired.
- Getting a customized interest rate requires a credit check, which can affect your credit score.
- Doesn't offer home equity lines of credit.
- Origination fees are on the high side compared with other lenders, according to the latest federal data.
- Displays detailed sample rates for many of its loan products.
- Offers a wide variety of loans, including jumbo and interest-only products.
- Offers low rates compared with other lenders, according to the latest federal data.
- Doesn't offer home equity loans.
Bethpage Federal Credit Union: NMLS#449104
580
3.5%
- Offers a full array of online conveniences, including loan process updates.
- Offers financing for cooperatives, a type of home that’s common on the East Coast.
- Sample mortgage rates available for a variety of loan products.
- In-person service available only in Queens and on Long Island, New York.
- USDA loans are not available.
- Customized rates not available online.
- Offers down payment and closing cost assistance programs.
- May give existing customers a discount on mortgage lender origination fees and HELOC interest rates.
- Receives high marks for customer satisfaction, according to J.D. Power and Zillow.
- Doesn't offer renovation loans that roll costs into a mortgage.
- Offers specialty loans, such as construction and renovation loans and loans for second homes and investment properties.
- Participates in first-time home buyer assistance programs in Illinois, Indiana and Wisconsin.
- Sample rates for some loan products are available only by contacting a loan officer.
- Physical locations aren't available in all states.
- Has a robust digital experience and mobile app.
- Offers a 45-day rate lock option.
- Requires a call or email for personalized rates.
- Does not offer home equity loans or lines of credit, or home improvement loans.
- Offers a variety of purchase and refinance loans, including jumbo mortgages.
- Has a preferred real estate agent program that can save a borrower money on closing costs.
- Offers some flexibility on guidelines for loan qualification.
- Does not offer VA or USDA loans.
- Products available only to California residents.
- Posts current mortgage rates on its website.
- Has an online application for mortgage preapproval and a digital tool to track application progress.
- Offers several affordable loan options, including FHA, VA, USDA and the PNC Community Loan.
- Doesn't offer renovation mortgages.
- In-person service is not available in every state.
- Offers a wide range of loan types and products, including FHA, VA and USDA.
- Borrowers can apply and track loan status online.
- Offers customized online rate quotes with monthly payment estimates, including mortgage insurance, when applicable.
- Home equity loans are geographically limited.
- Origination fees are on the high side compared with other lenders, according to the latest federal data.
- Offers a full line of conventional and government loan products.
- Provides home equity loans and lines of credit.
- Allows borrowers to apply and track their loan's progress online.
- No personalized mortgage rates available online.
- Published mortgage rates assume an above-average credit score.
- Offers a wide variety of loan options, including construction loans, programs for early career doctors, a wide variety of jumbo loans and home equity lines of credit.
- Proprietary grant program can help borrowers afford down payment and closing costs.
- Mortgage rates are lower than industry average, according to the latest federal data.
- Customized rates aren't available online without contacting the lender.
- For borrowers who prefer to apply in person, branches are limited mostly to the South and East.
- Mortgages aren’t available in all 50 states.
Qualifying for an FHA loan
To qualify for an FHA loan, you'll need a credit score of at least 580 for the lowest FHA down payment of 3.5% and a score of 500 with a 10% down payment. FHA loans allow a debt-to-income ratio of up to 43%, and in some cases there may be a bit more flexibility.
In addition to money for your down payment, you'll also need funds to cover FHA closing costs and an upfront mortgage insurance premium, which for FHA borrowers is 1.75% of the loan amount. Both the upfront mortgage insurance premium and the closing costs can be rolled into the total amount of the mortgage.
Bear in mind that these are the Federal Housing Administration's qualification guidelines; individual lenders can impose stricter rules. That's one reason it's worth comparing several lenders. You can start with the lenders we have here, but you can also browse the U.S. Department of Housing and Urban Development's searchable list of approved FHA lenders.
Are FHA loans only for first-time home buyers?
You do not need to be a first-time home buyer to use an FHA loan. Lower minimum credit score and down payment requirements make FHA loans attractive to first-time home buyers, but current homeowners are eligible, too.
Can you get an FHA loan if you have student loans?
You can get an FHA loan if you have student loan debt, as long as you meet FHA debt-to-income requirements. FHA student loan guidelines state that lenders must include all student loans when calculating a borrower's debt-to-income ratio. If your payments are currently deferred, your lender will consider your "monthly obligation" to be 0.5% of your total student loan balance.
More from NerdWallet
Last updated on November 1, 2023
Methodology
The star ratings on this page reflect each lender's performance in NerdWallet’s FHA loans category. We scored the category and chose lenders for this page using the following methodology:
NerdWallet reviewed more than 50 mortgage lenders, including the majority of the largest U.S. mortgage lenders by annual loan volume (measured among lenders with at least a 1% market share), lenders with significant online search volume and those that specialize in serving various audiences across the country. We rated them on criteria including rate transparency, loan types offered, ease of application and more.
Some of the providers are NerdWallet partners, but this did not influence our selections.
All reviewed mortgage lenders that offer FHA loans were evaluated based on (1) the portion of their business dedicated to FHA lending, (2) their FHA origination fees, (3) the range of FHA loans offered, (4) their rate transparency and (5) the ease of their online application. The highest scoring lenders appear on this page.
NerdWallet solicits information from reviewed lenders on a recurring basis throughout the year. All lender-provided information is verified through lender websites and interviews. We also utilized 2022 HMDA data for origination volume, origination fee, average interest rate and share-of-product data.
NerdWallet's Best Lenders for FHA Loans in December 2023
- NBKC: Best for rate transparency
- Pennymac: Best for FHA mortgage rates
- Rocket Mortgage, LLC: Best for digital convenience
- Guaranteed Rate: Best for first-time home buyers
- Bethpage Federal Credit Union: Best for credit union lending
- Bank of America: Best for customer satisfaction
- Wintrust Mortgage: Best for rate transparency
- Mr. Cooper: Best for FHA mortgage rates
- Golden 1 Credit Union: Best for California residents
- PNC: Best for overall FHA loan experience
- Flagstar: Best for overall mortgage lending
- US Bank: Best for mobile app
- Truist: Best for first-time home buyers
Frequently asked questions
- Where do I get an FHA loan?
To apply, you'll work with a Federal Housing Administration-approved lender. Many banks, credit unions and mortgage lenders offer FHA loans.
- How do I get preapproved for an FHA loan?
FHA loan preapproval is similar to preapproval for other mortgage types, though you have to work with an FHA-approved lender. You'll need to provide documentation of your financial status, which can include employment history, bank account information and any current loan payments. Getting a mortgage preapproval from more than one FHA lender lets you compare not only rates but also all the fees and conditions each lender would apply.
- How do I choose an FHA lender?
FHA mortgage rates and fees vary by lender, so compare at least three FHA lenders to find the best deal. Then run the numbers with an FHA mortgage calculator to estimate your monthly payments. It's also important to remember that while the FHA sets minimum qualifications, lenders can require higher credit scores or lower debt-to-income ratios.
