FHA Loan vs. Conventional Loans (Mortgage 2026): The Pros and Cons Before You Choose | NerdWallet

In this video, we break down FHA loans vs. conventional loans in 2026 and explain which mortgage option may be better depending on your credit score, down payment, debt-to-income ratio, and long-term financial goals. Learn the real differences between FHA mortgage insurance, PMI, loan limits, interest rates, credit requirements, and home buying qualifications so you can avoid costly mistakes when financing a home. Whether you’re a first-time homebuyer or planning your next home purchase, this guide covers everything you need to know about FHA vs conventional loans in plain English. #FHALoan #ConventionalLoan #FirstTimeHomeBuyer #MortgageTips #HomeBuying2026 TIMECODES: 00:00 - Intro 01:06 - What Are FHA Loans? 03:00 - Are FHA Loans ONLY For First Time Home Buyers? 03:36 - Disadvantages of FHA Loans (Including Mortgage Insurance) 05:29 - What are Conventional Loan Requirements? 06:06 - How Does Private Mortgage Insurance Work on Conventional Loans? 08:10 - Which loan is better: FHA or conventional? Download the NerdWallet App 👉 https://www.nerdwallet.com/l/nerdwallet-app-track-your-wealth-and-build-your-future?utm_source=yt&utm_campaign=cm_organic_100125_yt_desc_vid_edu_nw-app-desc Subscribe to NerdWallet - https://bit.ly/3wGvVf3 About NerdWallet: We’re NerdWallet. And we’re not your typical finance company. We believe that everyone should be able to make financial decisions with confidence. We’ve built a team of Nerds with the knowledge, passion, and skills to make that happen. Thanks to our Nerdy experts, see side-by-side comparisons and objective reviews of the best credit cards, bank accounts, and so much more — so you can get even more financial clarity. It’s the smartest decision for all your financial decisions. Disclaimer: This video is for informational and educational purposes only. NerdWallet does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks or securities. Any comments posted under NerdWallet's official account videos are not reviewed or endorsed by NerdWallet or representatives of financial institutions affiliated with the reviewed products unless explicitly stated otherwise. Avoid disclosing personal or sensitive information such as bank accounts or phone numbers. NerdWallet employees do not offer personalized financial advice and will not respond to posts here. Connect with NerdWallet: Follow NerdWallet on TikTok: https://tiktok.com/@nerdwallet Follow NerdWallet on Instagram: https://instagram.com/nerdwallet Follow NerdWallet on Twitter: https://twitter.com/NerdWallet Follow NerdWallet on Facebook: https://facebook.com/NerdWallet NerdWallet Website: https://nerdwallet.com