Home Buying

FHA vs Conventional Loans

A side-by-side look at the two most common loan programs for Florida buyers.

6 min readUpdated 2026Home Buying

Credit and down payment

FHA allows FICO scores as low as 580 with 3.5% down. Conventional generally starts at 620 and allows 3%–5% down for qualifying buyers.

Mortgage insurance

FHA charges upfront and monthly MIP that usually stays for the life of the loan. Conventional PMI is monthly (or single-premium) and drops automatically at 78% LTV.

Which fits better

FHA often wins for lower scores or higher debt ratios. Conventional often wins on total cost when credit is strong. Your loan officer can model both side by side.

Key takeaways

  • FHA is more flexible; conventional is often cheaper long term.
  • Compare total cost, not just the rate.

Frequently asked questions

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