Federal Housing Administration


FHA. A government agency whose primary purpose is to insure residential mortgage loans, as well as to improve housing conditions. The FHA was created by the National Housing Act of 1934, after the Great Depression caused many homes to be foreclosed. The FHA currently operates as part of the Department of Housing and Urban Development, and is fully self-funded. Following the financial crisis of the 2000s, the number of FHA mortgages skyrocketed, jumping from 2% to over 33% of all mortgages. FHA mortgages are more flexible than other loans, which benefits borrowers, and are appealing to lenders as well because there is less risk due to the insurance provided by the FHA.

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You need to make sure that you are doing everything in a way that will not have the federal housing administration looking down on you.

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The federal housing administration was in charge of certain things and I did not think they were competent enough to make it run smoothly.

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Reducing the costs of Federal Housing Administration loans could help more people achieve homeownership but may also cause some borrowers who would have sought private loans to seek loans with explicit government backing.

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government loan mutual mortgage insurance fund