FHA or FANNIE/FREDDIE

[Justin Kramp]

First home purchase in Charlottesville, VA.

Looking at 220k for small SFH or townhouse.

Shopping around with lenders rn to find the best loan and get preapproved and so far so good!

Question is, for a first timer, what are my downsides of using a Fannie/Freddie over FHA?

[Walter Key]

FHA has higher fees and higher PMI than conventional. In addition, FHA's PMI never goes away, for the life of the mortgage whereas conventional PMI drops after 80% Loan to Value.