Question of the Day

For people with low credit scores, what is the minimum down payment needed to receive a mortgage backed by federal taxpayers in the event of a loan default?

Correct Answer

Tell Me More

People who cannot qualify for a conventional mortgage because of poor credit history can receive a taxpayer-backed mortgage from the Federal Housing Administration with a 3.5% down payment. However, the borrowers must purchase mortgage insurance, which partially limits the risk to taxpayers.

DocumentationFHA Loans2014 CBO Report




Reload Question
Share via Facebook
Share via Twitter
Share via Email
Embed into your website
About the Fact App
Articles by Topic