Do FHA loans have lower interest rates?

Yes, FHA loans often come with lower interest rates than conventional loans—especially for borrowers with lower credit scores.

Are FHA loans fixed rate?

FHA loans can either be fixed rate or adjustable rate. The most common option is a 30-year fixed-rate FHA loan, which offers a stable monthly payment over the life of the loan. Adjustable-rate FHA loans typically start with a lower initial interest rate that can change over time.

Which is better: FHA or conventional loan?

It depends on your financial situation. FHA loans may be better for borrowers with lower credit scores or smaller down payments. Conventional loans may be better for those with strong credit and the ability to put at least 5% down.

What factors affect FHA loan rates today?

Factors that affect FHA loan rates today are: loan amount, loan term, current market conditions, and debt-to-income (DTI) ratio.

How can I lower my FHA loan rate?

To get a lower FHA loan rate you can improve your credit score, reduce your debt-to-income (DTI) ratio, and consider options to buy down your rate.

What is the minimum down payment required for an FHA loan?

The minimum down payment for an FHA loan is 3.5% of the home’s purchase price if you have a credit score of 600 or higher.

What are the mortgage insurance costs?

FHA loans require two types of mortgage insurance: i. Upfront Mortgage Insurance Premium (UFMIP), typically 1.75% of the loan amount, paid at closing or rolled into the loan. ii. Annual Mortgage Insurance Premium (MIP), paid monthly, usually 0.55% to 0.85% of the loan amount, depending on loan term, down payment and loan amount.

Current FHA Loan Interest Rates Today

†To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

Terms and conditions apply. Before you apply for a SoFi Mortgage, please note that not all products are offered in all states, and all loans are subject to eligibility restrictions and limitations, including requirements related to loan applicant’s credit, income, property, and loan amount. Minimum loan amount is $75,000. Lowest rates are reserved for the most creditworthy borrowers. Products, rates, benefits, terms, and conditions are subject to change without notice. Learn more at SoFi.com/eligibility-criteria. Information current as of 7/23/26.

SoFi Mortgages originated through SoFi Bank, N.A., NMLS #696891 (Member FDIC), (www.nmlsconsumeraccess.org). Equal Housing Lender.

¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.

²SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.

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