If you're thinking about buying a home, an FHA loan could be a great option for you. The Federal Housing Administration (FHA) provides mortgage insurance on loans made by FHA-approved lenders throughout the United States and its territories. This type of loan is designed to help people with lower credit scores or limited financial resources become homeowners. To be eligible for an FHA loan, you must have a credit score of at least 500 (although some lenders require a score of 580 or higher), and a down payment of at least 3.5% of the purchase price. Additionally, you must be able to demonstrate steady employment and income, and have a debt-to-income ratio that meets the lender's requirements. With an FHA loan, you may be able to qualify for a mortgage even if you have a less-than-perfect credit history or have struggled to save up for a down payment.