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Disadvantages of FHA Mortgages

The FHA provides loan programs to get people into homes. The loans are very popular because they represent excellent deals. That being said, there are still downsides to these loans including 1) the maximum amount that can be loaned to you is actually relatively low. In places like California, the amount may be lower than would be necessary to buy anything decent. The cap varies from area to area, so check it for yours. 2) You must occupy the home to get the loan, to wit, no investment properties and 3) You have to pay a mortgage insurance premium.  All and all, the FHA loan program is one worth looking into.

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