For a comparison of all major mortgage types — conventional, FHA, VA, USDA, ARM, and jumbo — see the Mortgage Loan Types hub.
Compare current FHA loan rates and understand how FHA financing compares to conventional mortgages.
Current FHA Loan Rates
| Loan Type | Mortgage News Daily index, Oct. 14, 2026 | MBA weekly survey, Oct. 7, 2026 |
|---|---|---|
| 30-Year FHA | 7.13% | 7.14% |
| 30-Year Fixed (conventional), for comparison | 7.45% | 7.49% |
Rates are survey averages, not offers; they do not include mortgage insurance. Mortgage News Daily (MND) publishes a daily index and the Mortgage Bankers Association (MBA) a weekly survey. Your quote depends on credit score, down payment and lender.
FHA vs Conventional Rate Comparison
| Feature | FHA Loan | Conventional |
|---|---|---|
| Base rate, MND index (Oct. 14, 2026) | 7.13% | 7.45% |
| Upfront MIP/PMI | 1.75% | None |
| Annual MIP/PMI | 0.55% (FHA, 30-year, under 5% down) | Varies with credit score and down payment |
| Min Credit Score | 580 (3.5% down) | 620 |
| Min Down Payment | 3.5% | 3% |
FHA Mortgage Insurance (MIP) Costs
Upfront MIP
| Loan Amount | Upfront MIP (1.75%) |
|---|---|
| $200,000 | $3,500 |
| $250,000 | $4,375 |
| $300,000 | $5,250 |
| $350,000 | $6,125 |
| $400,000 | $7,000 |
Can be financed into the loan
Annual MIP
| Loan Term | Down Payment | Annual MIP | On $300K Loan |
|---|---|---|---|
| 30-year | < 5% | 0.55% | $1,650/year ($138/mo) |
| 30-year | ≥ 5% | 0.50% | $1,500/year ($125/mo) |
| 15-year | < 10% | 0.40% | $1,200/year ($100/mo) |
| 15-year | ≥ 10% | 0.15% | $450/year ($38/mo) |
MIP Duration
| Down Payment | MIP Duration |
|---|---|
| Less than 10% | Life of loan |
| 10% or more | 11 years |
Full Payment Comparison: FHA vs Conventional
$350,000 home purchase. FHA uses the 7.13% MND index for October 14, 2026. The conventional rows use myFICO’s Loan Savings Calculator rates by FICO score for a 30-year fixed loan, viewed October 14, 2026, and assume PMI of 0.60% a year (680) or 0.48% a year (740+), which are illustrative assumptions, not quotes. Taxes and insurance are an assumed $400 a month.
FHA Loan (3.5% down)
| Component | Amount |
|---|---|
| Down payment | $12,250 |
| Loan amount | $337,750 + $5,911 MIP = $343,661 |
| Rate | 7.13% |
| P&I | $2,316 |
| MIP (annual) | $158 |
| Est. taxes/insurance | $400 |
| Total Payment | $2,874 |
Conventional (5% down, 680 credit)
| Component | Amount |
|---|---|
| Down payment | $17,500 |
| Loan amount | $332,500 |
| Rate | 7.91% |
| P&I | $2,419 |
| PMI | $166 |
| Est. taxes/insurance | $400 |
| Total Payment | $2,985 |
In this example: FHA payment is $111/month lower
Conventional (5% down, 740+ credit)
| Component | Amount |
|---|---|
| Loan amount | $332,500 |
| Rate | 7.62% |
| P&I | $2,352 |
| PMI | $133 |
| Est. taxes/insurance | $400 |
| Total Payment | $2,885 |
With higher credit: Conventional payment is $-11/month lower
When FHA Is the Better Choice
| Situation | Why FHA Works |
|---|---|
| Lower credit scores | FHA allows a 580 minimum with 3.5% down |
| Limited savings | Only 3.5% down required |
| High DTI | FHA allows up to 50% DTI |
| Recent credit events | More flexible underwriting |
| Gift funds for down payment | 100% can be gifted |
When Conventional Is Better
| Situation | Why Conventional Works |
|---|---|
| Credit score 720+ | Lower total cost |
| 20% down payment | No mortgage insurance |
| Plan to stay long-term | PMI cancels at 80% LTV (FHA MIP doesn’t) |
| Investment property | FHA is owner-occupied only |
| Higher loan amounts | Higher loan limits |
FHA Loan Limits
FHA sets its maximum loan amount by county each year, between a national floor and a high-cost ceiling. Look up your county’s current limit on HUD’s website before you shop.
FHA Qualification Requirements
| Requirement | Minimum |
|---|---|
| Credit score (3.5% down) | 580 |
| Credit score (10% down) | 500 |
| Down payment | 3.5% |
| Debt-to-income ratio | 43% (up to 50% with compensating factors) |
| Employment | 2 years steady |
| Property type | Owner-occupied primary residence |
| Loan purpose | Purchase or refinance |
FHA Streamline Refinance Rates
If you already have an FHA loan, you can use streamline refinance:
| Feature | Details |
|---|---|
| Requirements | Must reduce rate OR term |
| Appraisal required | No |
| Income verification | No |
| Credit check | Usually not |
| “Net tangible benefit” | Required (min 0.5% rate reduction) |
FHA Rate History
Recent weekly readings from the Mortgage Bankers Association survey, as published by Mortgage News Daily:
| Survey date | 30-Year FHA |
|---|---|
| Oct. 7, 2026 | 7.14% |
| Sept. 30, 2026 | 6.97% |
| Sept. 24, 2026 | 6.78% |
| Sept. 16, 2026 | 6.62% |
| Sept. 9, 2026 | 6.53% |
Monthly Payment Examples
3.5% down, 7.13% rate (MND index, Oct. 14, 2026), upfront MIP of 1.75% financed, annual MIP of 0.55% of the loan, principal and interest plus MIP only:
| Home Price | Down (3.5%) | Loan + MIP | Monthly P&I+MIP |
|---|---|---|---|
| $250,000 | $8,750 | $245,472 | $1,767 |
| $300,000 | $10,500 | $294,566 | $2,121 |
| $350,000 | $12,250 | $343,661 | $2,474 |
| $400,000 | $14,000 | $392,755 | $2,827 |
| $450,000 | $15,750 | $441,849 | $3,181 |
Related: FHA Loan Guide | 30-Year Mortgage Rates
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