FHA Loans in Texas
3.5% Down. Low Credit Welcome.
FHA loans make homeownership possible for first-time buyers, those rebuilding credit, and buyers with limited savings. Adam Bartling & Team shop multiple lenders to find your best FHA rate — with no upfront credit check and no obligation.
What Is an FHA Loan?
An FHA loan is a government-backed mortgage insured by the Federal Housing Administration. Because the federal government insures the loan, lenders can offer more flexible credit requirements and lower down payments than conventional mortgages — making FHA one of the most accessible paths to homeownership in Texas.
FHA loans are not issued by the government directly — they’re offered through approved private lenders like those in Adam Bartling & Team’s network. The FHA insurance protects the lender, which is why credit and income standards are more forgiving. For Texas buyers in Houston, Dallas, San Antonio, Austin, and beyond, FHA often delivers the best path to a first home.
Low Down Payment
Just 3.5% down with a 580+ credit score. On a $300K Texas home, that’s only $10,500 — far less than conventional’s typical 5–20%.
Credit Flexibility
Qualify with scores as low as 580 (3.5% down) or even 500 (with 10% down). FHA accepts recent credit events that conventional lenders often reject.
Gift Funds OK
Your entire down payment can come from gift money — family, employer, or an approved DPA grant. Conventional loans restrict this significantly.
Streamline Refinance
Already have an FHA loan? The FHA Streamline Refinance lets you lower your rate with minimal paperwork and no new appraisal required.
Higher DTI Allowed
FHA allows debt-to-income ratios up to 57% with compensating factors — giving buyers carrying student loans or car payments a real path to approval.
Stacks With DPA
FHA pairs with Texas down payment assistance programs — TSAHC, SETH, TDHCA, and local city grants — to dramatically reduce or eliminate out-of-pocket costs.
Who FHA Loans Are Best For
First-time homebuyers who haven’t had time to build large savings
Credit rebuilders with scores between 580–660 who don’t yet qualify conventional
Recent bankruptcy or foreclosure — FHA waiting periods are shorter than conventional
High debt-to-income buyers carrying student loans, car payments, or medical debt
Teachers, first responders, and veterans stacking FHA with Texas Heroes or VA-eligible grants
Relocating buyers moving to Texas from another state who want fast, straightforward approval
FHA Loan Requirements for 2026
FHA guidelines are set by HUD. Here’s exactly what Texas buyers need to qualify in 2026.
Understanding MIP — FHA’s Mortgage Insurance
FHA loans require Mortgage Insurance Premium (MIP) — both upfront and annual. The upfront MIP is 1.75% of the loan amount, typically rolled into your loan. Annual MIP of 0.55% is divided across monthly payments.
Key fact: Unlike conventional PMI, FHA MIP stays for the life of the loan if you put less than 10% down. Once you’ve built sufficient equity, many buyers refinance into a conventional loan to eliminate MIP entirely — a smart long-term strategy we help plan from day one.
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