The Federal Housing Administration (FHA), which is part of the U.S. Dept. of Housing and Urban Development (HUD), administers various mortgage loan programs. FHA loans have lower down payment requirements and are easier to qualify than conventional loans. FHA loans cannot exceed the statutory limit.
A loan insured by the Federal Housing Administration open to all qualified home purchasers. While there are limits to the size of the FHA loans, they are generous enough to handle moderately price homes almost anywhere in the United States
a loan that the Federal Housing Association insures. The FHA insures the home buyer's loan to the lender. Usually, there is a fee for this insurance.