Private lenders issue FHA loans and the FHA provides the lender with a guarantee to reduce the lender’s risk. To get a loan, start with a local loan originator, online mortgage broker, or loan officer at your financial institution. Discuss your options, including FHA loans and alternatives, and decide on the right program for your needs.

While each FHA-approved lender might add their own restrictions, the essential requirements for an FHA loan aren't as strict as the ones for a conventional loan.

Unlike FHA loans, conventional loans are not insured by the government. Qualifying for a conventional mortgage requires a higher credit score, solid income and a down payment of at least 3 percent.