Yes, you can get an FHA loan on a manufactured home — as long as it was built after 1976 and meets other FHA guidelines. The FHA offers two FHA loan programs for manufactured homes, known as FHA Title I and Title II loans.
FHA Mortgage Rates: Compare Current Rates and Loan Offers
Compare FHA loan offers to get the lowest rates and save thousands
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Current FHA mortgage and refinance rates
Loan Product | Interest Rate | APR |
|---|---|---|
| 30-year fixed rate FHA mortgage | n/a% | n/a% |
| 30-year fixed rate FHA refinance | n/a% | n/a% |
Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan type, loan program, and loan term. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.
How do FHA interest rates work?
FHA loan interest rates are typically lower than conventional loan rates, but will vary depending on your credit score, financial profile and lender. And when you add in the cost of FHA mortgage insurance, FHA loans may end up being more expensive than comparable conventional loans. That’s why it’s important to keep an eye on the total loan costs of any mortgage you’re considering, not just the interest rates.
What’s for certain, though, is that comparing loan offers to get the lowest rate can save you thousands of dollars in the long run.
How do I find FHA lenders to compare rates?
LendingTree’s list of the best FHA mortgage lenders is a great place to start. You can also try a comparison rate site, or ask for a referral from a friend, relative or a real estate agent. You can look up FHA-approved lenders online through the U.S. Department of Housing and Urban Development’s lender list search tool.
An FHA loan is a type of mortgage insured by the Federal Housing Administration (FHA). These loans cater to borrowers with credit blemishes and allow you to buy a house with a down payment as low as 3.5%. FHA loan guidelines are more lenient so that borrowers who can’t qualify for a conventional loan can still have a shot at homeownership.
Only FHA-approved lenders can offer you an FHA loan, which is important to know when you’re rate shopping.
Current FHA loan interest rate trends
Interest rates have been rising since early 2023 and crossed the 7% threshold in August, before continuing a steady march toward 8%. However, recent rates have been dropping slightly as the end of the year approaches. Still, LendingTree’s mortgage rates forecast expects them to remain high into the new year.
Are FHA loan rates lower than conventional rates?
Yes, but that doesn’t always mean they’re cheaper. To understand why, you’ll need to pay attention to your annual percentage rate (APR). Unlike an interest rate, which only measures the cost to borrow money, an APR captures the total costs of a loan.
So while FHA loans may have attractive-looking interest rates, it’s also important to look at the APR. FHA loans often have higher APRs than comparable conventional loans because they require you to pay for FHA mortgage insurance.
How much is FHA mortgage insurance?
The exact amount you’ll pay in mortgage insurance premiums will vary based on your loan amount. For example, an FHA borrower with a $300,000 loan amount can expect to pay $5,250 in upfront fees, and between $1,500 and $1,650 in annual premiums thereafter.
How to get the lowest FHA mortgage rates today
- Shop around
Compare the loan estimates from three to five different FHA-approved lenders. In addition to interest rates, focus on each lender’s closing costs, since these can be a significant expense. A lower interest rate may come with higher costs, so make sure you have extra cash to cover these fees.
→ FHA closing costs typically range from 2% to 6% of your loan amount. - Boost your credit scores
Although the FHA doesn’t require a high credit score to approve you for a loan, a higher credit score can get you a lower FHA loan interest rate. Most FHA loan borrowers have a score between 640 and 680. If your score is significantly lower, you can improve it by paying bills on time and keeping each of your credit card balances below 30% of your available credit.
Learn more about how to improve your credit score. - Choose a shorter term
If you can afford a higher monthly payment, your FHA mortgage rate will be lower with a shorter term, like a 15-year fixed-rate mortgage instead of the more common 30-year fixed-rate mortgage. You’ll also save thousands of dollars in interest over the life of the loan.
Learn more about how to choose between a 15-year and 30-year mortgage. - Ask the seller to buy mortgage points
Paying for mortgage points buys you a lower FHA loan interest rate. One full point costs 1% of your loan amount. You can ask the seller to pay up to 6% of your home price toward closing costs (including mortgage points) to get lower FHA mortgage rates. You may also be able to deduct the cost of the points when you file your taxes.
Pros and cons of FHA loans
How to qualify for an FHA loan
You’ll need to meet the minimum requirements below to be approved for an FHA loan.
| Down payment | 3.5% with a 580 score 10% with a 500 to 579 score |
| Credit score | 580 with a 3.5% down payment 500 to 579 with a 10% down payment |
| Debt-to-income (DTI) ratio | 43% with exceptions up to 50% or higher |
| Occupancy | Must live in home as primary residence |
| Employment | Stable two-year employment history, no income limits |
| Assets | Down payment can be gifted by an employer, family member, close friend or charitable organization |
| Loan limits | $498,257 for a one-unit home in most parts of the country Higher FHA loan limits may be available in high-cost areas |