FHA loans, insured by the Federal Housing Administration (FHA), are one of the most popular choices for people who want to buy a home or refinance an existing mortgage.
FHA loans require only a very small down payment and have relatively relaxed guidelines for borrowers to qualify. But FHA loans aren’t the best choice for every borrower, in part because they require mortgage insurance, which adds an additional cost to the loan for the borrower.
Read more:http://www.moneygeek.com/mortgage/fha-loan/insurance/