FHA Loans: Could You Qualify for More Than One at a Time?

Unless you meet specific criteria, there is no limit on the number of Federal Housing Administration (FHA) loans a person may qualify for in a given lifetime. To buy your next house, you may have considered applying for a second FHA mortgage if you purchased your existing home with an FHA-backed loan. 

It’s a significant choice, so let’s take a closer look at FHA loans, how you may qualify for numerous loans at once, and whether taking out multiple FHA loans is the best option for you to make.

Is It Possible to Acquire an FHA Loan More Than Once in Your Lifetime?

You can get more than one FHA loan in your lifetime. However, the general rule is that you may only have one FHA loan open at a time.

Remember that FHA loans are designed for homebuyers who plan to use the property as their primary residence. You cannot purchase a vacation or rental house with an FHA loan.

If you wish to file for a second FHA loan, you must first pay off the prior one. A few exceptions do exist, though. If you meet the following criteria, you may be able to acquire another FHA loan without having to sell your first FHA-financed home:

  • Your New Home Is More Than 100 Miles Away From Where You Now Reside: The FHA 100-mile rule is something you should be familiar with. If you’re relocating to another region for a new job, you may be eligible for a second FHA loan, but the distance must be at least 100 miles.
  • Your Family Has Grown Quite a Bit Since You Bought Your Home: Let’s say you purchased a two-bedroom property, but your family has grown to include five members.
  • You Are a Co-borrower on an FHA Loan, but You Want to Buy Your Own Home: This often occurs during or after a divorce.
  • You’re Purchasing a HUD-Owned Property (REO): To invest in an FHA-foreclosed property, you’ll need to put down a quarter of the purchase price.

How Can I Get More Than One FHA Loan?

Lenders want to know if you can afford to pay back several mortgages.

The minimal credit score, debt-to-income ratio, and down payment criteria are the same as your first FHA loan. And, of course, your lender will evaluate your income and assets to see whether you’re a good candidate. Getting another FHA loan will need at least three years without a foreclosure on your credit report.

With a credit score of at least 700, you may be able to put down just 3.5 percent. Every one of your FHA loans will eventually need you to pay mortgage insurance premiums.

If you’re applying for a second FHA loan because you’re expanding your family, you’ll need to show that your present house is no longer enough. For a second FHA loan, you must have at least 25 percent equity in your current property. You’ll have to make more loan payments or pay the primary debt even more.

What Other Options Are There?

Having two FHA loans on the go at the same time is unnecessary. You might do as follows:

  • Sell your present house
  • Conventional loans may be used to refinance or purchase a new house.
  • For the time being, you may either rent or lease a new residence.
  • Refinance your current loan to buy a new house.


FHA loans might be a good option if you’re seeking to purchase or refinance a home. First-time homebuyers choose FHA loans for their flexible credit, income, and down payment standards.

Take your time when deciding whether to pursue an FHA loan and whether to apply for a second one. If you feel comfortable having multiple loans, you may do well. If you’re having doubts about your financial situation, it might be best to take a little break and reassess your finances before applying for another mortgage.

Talk to a mortgage lender if you’re unsure whether you can afford another loan. They will be able to help you decide whether an FHA loan is right for you.

Visit Hawkins Home Loans if you’re interested in applying for FHA loans in Sacramento. We are your online source for a stress-free experience, unbelievably cheap rates, and exceptional customer service whether you’re purchasing or refinancing a home.