FHA home loans are one of the easiest loans to qualify for, especially if you have faced financial difficulty in the past, have less than perfect credit, or lack equity or cash for closing. These government insured loan programs enable lenders to take more risk with qualifying people for a loan, which opens up the opportunity for more Americans to own their own home. Your credit score can be as low as 580 to qualify. For a primary residence, you can refinance up to 97.75% of your home’s value, and you can purchase a place with as little as 3.5% down. Pre-payment penalties do not apply, and you can select a fixed rate using a 30, 25, 20 or 15 year term.

An FHA variable rate loan gives you the benefit of today’s low interest rate, while easing up on qualification requirements. FHA home loans are government insured, which mitigates loan risk for lenders. After the initial five year fixed rate, your interest rate will increase or decrease annually over the duration of the loan, depending on the fluctuation of the interest rate. If you have at least a 580 credit score, and 3.5% down payment for a primary home you may qualify for an FHA variable rate mortgage loan. You can also refinance up to 97.75% of your primary home’s current value. If you are planning a move in the next few years, or simply want to take advantage or today’s low rates, this is a great option for you.