If you don’t have the down payment savings to qualify for a conventional loan, an FHA home loan can make a big difference. FHA loans require as little as 3.5 percent down if you meet the credit score requirement, making them appealing to first-time homebuyers and others with limited funds for a down payment.

While FHA loans come with eligibility rules regardless of the mortgage lender you work with, the interest rate you qualify for and closing costs can vary. That’s why it pays to shop around carefully for an FHA mortgage lender. Bankrate has made this process easier for you by reviewing dozens of mortgage lenders based on several key criteria. Here is our guide to the best FHA mortgage lenders in 2023.

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Summary: Best FHA mortgage lenders

Methodology

To determine the best FHA mortgage lenders, Bankrate evaluates more than 85 lenders for factors relating to affordability, availability and customer experience, assigning each a Bankrate Score out of five stars. Based on this methodology, the best FHA mortgage lenders generally have a Bankrate Score of 4.9 stars or higher. Note: The Bankrate Score considers a mortgage lender’s products and services only; it is not a reflection of a lender’s internal operations or practices.

How to find an FHA mortgage lender

The FHA (Federal Housing Administration) doesn’t lend FHA loans directly; instead, you’ll get an FHA loan from an FHA-approved mortgage lender. Many types of mortgage lenders, including banks and online shops, offer these loans. To find one:

• Ask your real estate agent. Your agent might know of lenders that offer FHA loans. Just be aware: You are never obligated to work with the lender your agent recommends.
• Use HUD’s FHA lender search tool. The search function allows you to search for FHA lenders by state, county and zip code.
• Explore options with an online comparison tool. Bankrate presents customized FHA loan rate quotes based on your needs and financial situation.

Who are the largest FHA lenders in the U.S.?

Along with Bankrate’s best FHA mortgage lender picks, here are the largest FHA lenders as of 2022 according to Home Mortgage Disclosure Act (HMDA) reporting. These are ranked based on number of originations and dollar volume.