a man in a hat and plaid shirt standing in front of a house

FHA Home Loans

Mortgage loans for less than excellent credit.

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FHA Loans

Want to learn more about FHA loan rates and fees? Contact us at 800-233-2328 ext. 5772. You can also make an appointment to speak with a BECU mortgage advisor.

Sometimes your situation requires creative financing options, and we‘ve got that covered. If a standard loan doesn't meet your needs, we offer FHA home loans with a variety of non-traditional fixed-rate and ARM options.

Features and Benefits

  • No origination fee*
  • Low down payment — as little as 3.5%
  • Great option for less than perfect credit borrowers
  • Closing costs and fees can be included in the loan so you'll need less cash up front
  • More flexible underwriting qualifications


When you choose BECU for your homebuying needs, you'll work with an experienced and trusted mortgage advisor who knows your local market. They'll guide you every step of the way.

Working with BECU also means:

  • You're part of a non-profit credit union that puts its members' needs first.
  • You're working with local people who are dedicated to supporting their communities.
  • We're committed to helping you build your financial wellness.

Frequently Asked Questions

Federal Housing Administration (FHA) home loans are designed to provide flexibility on loan qualification for lower income borrowers with limited options due to their credit score and savings. An FHA home loan requires FHA mortgage insurance for the life of the loan (unless you refinance to another loan type).

FHA home loan borrowers are required to pay a mortgage insurance premium (MIP) annually for the life of the FHA loan. This is different than a conventional fixed-rate or adjustable loan which requires mortgage insurance (MI) if you put less than 20% down payment on your home. MI can be removed after the value of the home has increased and/or you meet certain eligibility requirements. FHA insurance premiums cannot be removed.

There are certain requirements to qualify for an FHA loan. You must demonstrate you have a steady income by providing pay stubs, W-2s, federal tax returns and bank statements. The home must also be appraised by an FHA-approved appraiser and must be your primary residence. You must also occupy the home within 60 days of closing. There are several more specific conditions to qualify, so please consult with a BECU Mortgage Advisor to ensure you meet every qualification.

How soon you can refinance depends on the type of refinance loan you seek. A BECU Mortgage Advisor can answer all your questions regarding refinancing an FHA home loan.

If you pay less than 10% down payment on an FHA home loan, you cannot get rid of mortgage insurance. If you put 10% or more, you pay mortgage insurance premiums for 11 years. Another way you can get rid of FHA mortgage insurance payments is by refinancing the mortgage into a non-FHA loan.

PMI stands for private mortgage insurance and refers to mortgage insurance on home loans not backed by the government. The mortgage insurance for an FHA loan is called mortgage insurance premiums (MIP). The MIP protects FHA-approved lenders against losses if you default on your mortgage payments. MIP is more expensive than PMI and is required regardless of your down payment amount.

*Offer applies to purchase and refinance transactions. Certain restrictions apply. Home loan programs, terms and conditions are subject to change without notification.  BECU reserves the right to terminate this offer at any time without notice. Boeing Employees' Credit Union NMLS ID 490518.