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FHA stands for Federal Housing Administration; the FHA is an arm of the Department of Housing and Urban Development (HUD). The primary focus of the FHA is to encourage homeownership in the United States. To do this, the FHA insures mortgages against borrower default.
What are FHA house loans â How to Apply for & FHA Mortgage Requirements. An FHA loan is a type of government insured mortgage. FHA loans do not require a large downpayment and have many advantages over conventional loans. Begin your free FHA loan approval now and apply for a rebate of up to 2.75% ($28,000 maximum) of the loan amount.