by emckenzie
Understanding the intricacies of FHA loans can be a game-changer for potential homeowners. This quiz will help you gauge your knowledge about the qualifications and requirements needed to secure an FHA loan. Dive in and see how much you know about this vital aspect of home financing!
We recommend that you do not leave the page that you are taking this quiz in. Stay honest 🙂
FHA Loan Qualification Quiz Questions Overview
1. What does FHA stand for?
Federal Housing Agency
Federal Housing Administration
Federal Homeowners Association
Federal Homebuyers Agency
2. What is the minimum down payment required for an FHA loan?
10%
5%
3.5%
1%
3. Which credit score is typically the minimum needed to qualify for an FHA loan?
500
580
620
700
4. What is the maximum debt-to-income (DTI) ratio generally allowed for FHA loan applicants?
31%
43%
50%
55%
5. FHA loans are available for which type of property?
Investment properties
Vacation homes
Primary residences
Commercial properties
6. What is the purpose of the FHA mortgage insurance premium (MIP)?
To protect the lender
To protect the borrower
To cover closing costs
To pay for home repairs
7. How long must a borrower wait after a bankruptcy to be eligible for an FHA loan?
1 year
2 years
3 years
4 years
8. What is the maximum loan term for an FHA loan?
15 years
20 years
25 years
30 years
9. Can FHA loans be used for refinancing an existing mortgage?
Yes
No
Only for primary residences
Only for investment properties
10. What is the upfront mortgage insurance premium (UFMIP) rate for FHA loans?
1.75%
2.00%
2.25%
2.50%
11. Are FHA loans assumable?
Yes
No
Only with lender approval
Only for primary residences
12. What is the purpose of the FHA 203(k) loan program?
To provide down payment assistance
To finance home improvements
To cover closing costs
To pay for mortgage insurance
We recommend that you do not leave the page that you are taking this quiz in. Stay honest 🙂
