FHA Home Loans in Idaho

Buying a home in Boise, Meridian, Eagle, Star, Nampa, Caldwell, Kuna, Emmett, or anywhere in Idaho? An FHA home loan is one of the most popular options for first-time and move-up buyers because it can allow lower down payments and more flexible credit guidelines than many conventional loans.

At Home Loans of Idaho, we’ll help you compare FHA to other options and make sure the loan you choose actually fits your goals — not just a headline rate.

What is an FHA Home Loan?

An FHA loan is a mortgage insured by the Federal Housing Administration (FHA). FHA insurance reduces risk for lenders, which is why the program can be more forgiving with credit and down payment requirements for qualified borrowers.

FHA loans are only for primary residences — meaning the home must be the place you live most of the year.

Why Idaho buyers choose FHA

Here are a few reasons FHA loans are so common for buyers in Idaho:

• Low down payment options (as little as 3.5% for many borrowers)

• More flexible credit guidelines compared to many conventional loans

• Gift funds allowed in many cases (great for first-time buyers)

• Competitive interest rates depending on your scenario

• Assumable loans (in some cases, FHA loans can be assumable — which can be a big benefit when rates are higher)

Idaho FHA down payment and credit score guidelines

FHA guidelines commonly work like this:

• 580+ credit score: minimum 3.5% down of the homes purchase price.

Not sure where you stand? We can look at your full picture (income, debt, assets, goals) and show you your best path.

FHA mortgage insurance (MIP): what it is and what it costs

FHA loans require Mortgage Insurance Premium (MIP). This comes in two parts:

1) Upfront MIP

• 1.75% of the base loan amount (usually financed into the loan)

2) Annual MIP (paid monthly)

• The annual MIP depends on loan amount, term, and down payment/LTV.

• For many 30-year FHA loans under the standard limit, borrowers often see annual MIP around 0.50%–0.55% (and higher in some cases).

Simple example:
If your loan amount is $350,000 and annual MIP is 0.55%, that’s about $1,925/year, or about $160/month (estimated).

(We’ll calculate this precisely for your scenario.) See your mortgage payment with our FHA mortgage calculator

2026 FHA loan limits in Idaho

FHA loan limits update each year and vary by county. HUD publishes official limits and provides a lookup tool. HUD+1

For calendar year 2026, FHA’s nationwide floor and ceiling for a 1-unit property are: HUD

• Floor: $541,287

• Ceiling: $1,249,125

Common Treasure Valley examples (1-unit)

(These can change annually — we always confirm your county at the time of application.)

• Ada County (Boise / Meridian / Eagle): $586,500

• Canyon County (Nampa / Caldwell): $586,500

• Gem County (Emmett): $586,500

Tip: If you’re buying a duplex/triplex/fourplex, FHA limits are higher — and we’ll confirm those based on the property type.

FHA property requirements (what to expect)

FHA loans require an FHA appraisal. The appraisal checks value and basic safety/condition items (like roof issues, peeling paint, exposed wiring, missing handrails, etc.). If something comes up, it doesn’t always mean the deal is dead — it usually means we need a plan.

If you’re writing an offer, we can help you understand FHA-friendly expectations upfront.

FHA loan requirements checklist (quick overview)

While every file is different, FHA approval generally includes:

• Verifiable income and employment

• Acceptable credit history and down payment source

• Debt-to-income within acceptable range (varies)

• Home is a primary residence

• FHA appraisal meets basic property standards

How to get an FHA pre-approval in Idaho

Here’s the simple process we use:

1. Quick call or online request (your goals + timeline)

2. Review income, credit, and down payment plan

3. Run numbers and compare FHA vs other options

4. Issue a strong pre-approval letter (so you can shop confidently)

5. Stay available during the offer process (strategy matters)

Frequently Asked Questions

Is FHA only for first-time homebuyers?

No. FHA is available to first-time buyers, move-up buyers, and even some repeat buyers — as long as it’s your primary residence.

Can I use gift funds for the down payment?

Often, yes. FHA can allow gift funds from eligible donors (we’ll confirm your exact documentation needs).

Is FHA “bad” because it has mortgage insurance?

Not necessarily. For many buyers, FHA can be a smart stepping stone — buy now, build equity, and refinance later if/when it makes sense.

How do I know if FHA or conventional is better?

That depends on credit score, down payment, property type, and your long-term plan. We’ll price out both and show you the real payment + costs side-by-side.

Ready to see if FHA works for you?

If you’re buying in Boise, Meridian, Eagle, Star, Nampa, Caldwell, Kuna, Emmett, or anywhere nearby, I’ll help you figure out:

• Whether FHA is your best option

• What your down payment and payment could look like

• What you can do now to qualify (or qualify sooner)

Jesse Stroup | Idaho Mortgage Broker

Call/Text: 208-907-2846
Apply Online: Get Started with your FHA loan

The Bottom Line on How FHA Home Loans Work

FHA home loans are:

• Government-insured loans that allow borrowers to purchase a home with as low as a 3.5% down payment. Borrower must pay the premiums for this insurance, which is meant to protect the lender.
• Borrowers can also pay their FHA loans without risking pre-payment penalties.

Getting a loan to purchase a home can be frustrating, especially if you don’t know the right procedures to follow. But there’s no need to worry. We are here to help you out. Please don’t hesitate to contact us today to get started.

**This company is not affiliated with or acting on behalf of or at the direction of FHA, VA, USDA or the Federal Government.