FHA Loan Calculator

FHA Loan Calculator - Calculate Your FHA Mortgage Payments

Our FHA loan calculator helps you estimate monthly payments and total costs for an FHA-insured mortgage. FHA loans are backed by the Federal Housing Administration and are popular among first-time homebuyers due to their low down payment requirements and flexible qualification criteria.

How FHA Loans Work

FHA loans are mortgages insured by the Federal Housing Administration. This insurance protects lenders against losses if borrowers default, which allows lenders to offer loans with more favorable terms including:

Low Down Payments: As low as 3.5% of the purchase price
Flexible Credit Requirements: Credit scores as low as 580 may qualify
Competitive Interest Rates: Often lower than conventional loans for qualified borrowers

However, FHA loans require mortgage insurance premiums (MIP) that include an upfront fee (1.75% of the loan amount) and annual premiums that vary based on your loan terms. Compare this with a standard Mortgage Calculator or use the Amortization Calculator to see the full payment schedule.

How to Use the FHA Loan Calculator

Enter your property and loan details:

Home Price: The purchase price of the property
Down Payment: Enter as a percentage or dollar amount (minimum 3.5% for FHA)
Loan Term: Typically 15 or 30 years
Interest Rate: Your expected FHA loan interest rate
Additional Costs: Property taxes, homeowners insurance, HOA fees, and other expenses

Understanding FHA Mortgage Insurance Premiums (MIP)

FHA loans require two types of mortgage insurance:

Upfront MIP: A one-time fee of 1.75% of the base loan amount. This can be financed into the loan or paid at closing.
Annual MIP: An ongoing premium paid monthly, ranging from 0.15% to 0.75% based on your loan term, loan-to-value ratio, and loan amount.

Our calculator automatically determines the correct annual MIP rate based on the 2026 FHA guidelines using your loan term, LTV ratio, and loan amount.

FHA vs Conventional Loans

Consider these differences when choosing between FHA and conventional loans:

FHA loans require MIP for the life of the loan if your down payment is less than 10%
Conventional loans allow PMI cancellation once you reach 20% equity
FHA loans have lower credit score requirements
Conventional loans may offer better rates for borrowers with excellent credit and larger down payments
If you already have an existing loan, check the Refinance Calculator to see if switching makes sense

Frequently Asked Questions

What is the minimum down payment for an FHA loan?

The minimum down payment for an FHA loan is 3.5% of the purchase price. However, borrowers with credit scores below 580 may need a higher down payment of 10%. The down payment can come from savings, gifts from family members, or down payment assistance programs.

Can I cancel FHA mortgage insurance?

For FHA loans with a down payment of 10% or more, annual MIP can be canceled after 11 years. For loans with less than 10% down, MIP remains for the life of the loan. The only way to eliminate FHA MIP is to refinance into a conventional loan once you have at least 20% equity.

What credit score do I need for an FHA loan?

FHA loans are available to borrowers with credit scores as low as 580 with a 3.5% down payment. Borrowers with scores between 500 and 579 may qualify with a 10% down payment. Most lenders also have their own overlay requirements that may require higher scores.

What is the FHA loan limit for 2026?

FHA loan limits vary by county and property type. For 2026, the standard FHA loan limit for single-family homes is generally around $498,257 for low-cost areas and up to $1,149,825 for high-cost areas. Some areas like Alaska, Hawaii, and US territories have higher limits.

Should I finance the upfront MIP or pay it at closing?

Financing the upfront MIP into the loan increases your loan amount and monthly payment but reduces your out-of-pocket closing costs. Paying it upfront saves on interest over the life of the loan but requires more cash at closing. The calculator lets you compare both options to see which works better for your situation.

Report