FHA loans

FHA is the acronym for Federal Housing Administration. It was brought in to being during the crises that hit the US market in the year 1929. Many common people could not repay their loans on their property and turned to banks to rescue them but banks did not have the necessary assets to get all the people out of distress. Seeing this overwhelming economic situation, the US government, in the year 1934, decided to amend the banking laws and started FHA loans, an agency to keep a control over the interest rates of mortgage loans as well as the terms and conditions of such loans.