Remember when just about anybody could buy a house? Well, those days are gone and now an option that wasn’t so popular when mortgages were for everybody has suddenly made a comeback. FHA (Federal Housing Administration) loans were created in the 1930s to help wedge the country out of the Great Depression. Recent statistics show the FHA is insuring nearly one-third of the country’s home loans– the largest percentage in decades.

Since loans are harder to come by, FHA loans are making a comeback. There are pretty much two options out there for people looking to buy a home– a typical housing loan (for people with great credit scores and some cash on hand) or an FHA loan.

FHA loans require an upfront fee and typically tack on an extra fee in your monthly payment. But it’s an alternative for people with less-than-perfect credit scores. FHA loans also don’t require a lot of cash down. In order to qualify for an FHA loan you must have steady employment and an income that will easily cover the cost of the mortgage.

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