FHA loans are once again getting popular in the mainstream. Although it’s an institution that has been around for a long time, since June 27, 1934, its stock keeps moving in highs and lows. The Department of Housing & Urban Development folded the Federal Housing Administration (FHA) under its umbrella in 1965.
FHA loans began to lose favor in the late 1990s, when home values began to inch upwards, surpassing FHA mortgage limits, and sellers balked at FHA’s stringent appraisal guidelines.
