You want an FHA loan, put simply, if you have a lower credit score. The FHA loan is one of the easier loans to qualify for. It requires a down payment of at least 3.5% of the value of the home, while being available for people who have had financial troubles including filing for bankruptcy or being foreclosed on. An FHA loan will always have PMI attached (monthly mortgage insurance) so your monthly payment will be higher. Mortgage lenders love advertising this loan because of the low-down payment, when in reality, you want to try and avoid an FHA loan if you can. It is not a “bad” loan in any sense of the word, but you can only drop the PMI after you have raised your credit score and refinance so your monthly payment will always be higher than a conventional loan. But if you are in need of a home and have a lower credit score this loan is for you. It is important to fully understand what you are getting and it is our job to explain all your options to you. This loan can be a fantastic stepping stone to get you into a home, and on the path to better credit!