Where FHA Loans Are the Most Popular

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In 2016, 15.5 percent of home purchases were completed using Federal Housing Administration loans, according to ATTOM Data Solutions. For many borrowers, the FHA requires a down payment of just 3.5 percent of the purchase price of a home.

Read more: The Big Down Payment Myth

The following are the eight metros with populations of more than 200,000 that had the largest percentage of purchases using FHA-insured loans in 2016.

1. McAllen-Edinburg-Mission, Texas

2. Ogden-Clearfield, Utah

3. Merced, Calif.

4. Visalia-Porterville, Calif.

5. Salt Lake City, Utah

6. Beaumont-Port Arthur, Texas

7. Indianapolis-Carmel-Anderson, Ind.

8. Amarillo, Texas

Source: “10 Hottest Markets for FHA Mortgages,” National Mortgage News (2017)

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