Free FHA Loan Calculator

FHA Loan Calculator

Calculate your exact FHA monthly payment including Upfront MIP (1.75%) and annual MIP — the two mortgage insurance costs unique to FHA loans. See how long MIP lasts based on your down payment.

3.5%
Minimum down payment
HUD FHA requirements
0.55%
Annual MIP rate (2024)
HUD ML 2023-05

FHA Loan Calculator

FHA Loan Details

Home Price
$
Down Payment$11K (3.5%)
%
Base Loan Amount$308,800.00
UFMIP (1.75% upfront MIP)$5,404.00
Total FHA Loan$314,204.00
Interest Rate avg FHA: 6.01%
%
Loan Term

Optional — tax & insurance

Property Tax %/yr
%
Insurance /mo
$

Enter your FHA loan details and click Calculate

FHA vs. Conventional Loan: Which Is Better?

FHA loans are insured by the Federal Housing Administration and designed for borrowers with lower credit scores or smaller down payments. Here's how they compare:

FactorFHA LoanConventional
Min. down payment3.5% (580+ FICO)3–5%
Min. credit score500 (10% down)620 (typically)
Mortgage insuranceUFMIP + annual MIPPMI if < 20% down
PMI/MIP cancellationLife of loan (< 10%)Auto at 78% LTV
Avg rate (Mar 2026)6.01%6.41%
Loan limit (2024)$498,257 (standard)$766,550
DTI limit43–50%43–45%
Recent credit issuesMore flexibleStricter

Sources: HUD FHA Guide / Fannie Mae Selling Guide.

FHA MIP Rates (2024) — Full Table

FHA reduced annual MIP rates in March 2023 (Mortgagee Letter 2023-05), saving most borrowers 0.30% per year. Current annual MIP rates:

TermLTVLoan LimitAnnual MIP
30-yr≤ 90%≤ $726,2000.50%
30-yr> 90%≤ $726,2000.55%
30-yr≤ 90%> $726,2000.70%
30-yr> 90%> $726,2000.75%
15-yr≤ 90%≤ $726,2000.15%
15-yr> 90%≤ $726,2000.40%

Plus UFMIP of 1.75% of base loan (all cases). Source: HUD Mortgagee Letter 2023-05.

FHA Loan Limits 2024

FHA loan limits are set annually by the FHFA and vary by county and property type. For 2024:

$498,257
Standard (floor)
Most U.S. counties
$1,149,825
High-cost areas (ceiling)
CA, NY, HI, etc.
$637,950
2-unit property
Standard limit
$771,125
3-unit property
Standard limit

Source: HUD FHA Mortgage Limits. Check your specific county limit before applying.

When to Refinance Out of an FHA Loan

If you put less than 10% down, your MIP never cancels — making refinancing to a conventional loan financially smart once you reach 20% equity. Use the refinance calculator to find your exact break-even point. Generally worth it when:

  • You've reached 20% equity — either through payments or home appreciation.
  • Your credit score improved to 680+ — conventional PMI rates are much better.
  • The rate savings cover closing costs — typically within 24 months.
  • You want to remove MIP permanently — conventional PMI cancels at 80% LTV.
FAQ

FHA Loan — Common Questions

How is FHA MIP calculated?
FHA MIP has two parts: (1) Upfront MIP (UFMIP) — 1.75% of the base loan amount, paid at closing or rolled into the loan. On a $300,000 loan, that's $5,250. (2) Annual MIP — charged monthly. For most 30-year loans under $726,200, the annual rate is 0.55% of the outstanding balance. Monthly MIP = (Balance × 0.55%) ÷ 12. So on a $305,250 FHA loan, monthly MIP ≈ $140.
How long do you pay FHA MIP?
If your down payment is less than 10% (LTV > 90%): MIP lasts the entire life of the loan — it never cancels. If your down payment is 10% or more (LTV ≤ 90%): MIP lasts 11 years. This is critically different from conventional PMI, which automatically cancels at 78% LTV and can be requested at 80% LTV. To remove FHA MIP with < 10% down, you must refinance into a conventional loan once you reach 20% equity.
What credit score do you need for an FHA loan?
FHA minimums: 500 FICO with 10% down, or 580 FICO with 3.5% down. Most FHA-approved lenders set higher overlays of 580–620. For the best FHA rates and fewest restrictions, aim for 640+. Note: conventional loans become more competitive above 660–680 once PMI costs are factored in.
What are the FHA loan limits for 2024?
FHA loan limits are set by the FHFA and vary by county. For 2024: standard limit (most counties) = $498,257 for a single-family home. High-cost areas limit = $1,149,825. Floor (low-cost areas) = $498,257. Ceiling = $1,149,825. Alaska, Hawaii, Guam, and the U.S. Virgin Islands have even higher limits. Check your county at HUD.gov.
Is an FHA loan better than a conventional loan?
It depends on your credit and down payment. FHA is better when: credit score is below 680 (FHA rates don't penalize as heavily), you can only put 3.5% down, or you've had a recent bankruptcy/foreclosure. Conventional is better when: credit score is 680+ and you can put 5–20% down (lower PMI costs), you want PMI to cancel automatically, or you're buying a higher-priced home (FHA limits apply).
Can I remove FHA MIP?
If you put less than 10% down: the only way to remove MIP is to refinance into a conventional loan when your home has 20% equity. If you put 10% or more down: MIP automatically cancels after 11 years. When should you refinance out? When conventional rates are competitive and you've built 20% equity — run the refinance calculator to check if the savings outweigh closing costs.

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