A standard FHA-insured loan product is traditionally one of the best types of home loans for first-time buyers. A FHA loan is insured by the Federal Housing Administration (FHA) and is originated or funded by a private lender. While mortgage lenders do vary in how they apply FHA underwriting guidelines, FHA standards in general are more flexible than most other types of home loan programs and can be a great fit for those households with lower credit scores. FHA also has a low minimum down payment of just 3.5% (of the purchase price) and it permits a gift from a family member or the seller to pay the remaining closing costs and fees to purchase your first home. These are great features for the typical cash-strapped buyer looking to finance a home of their own. To learn more about an FHA loan click here.