Skip to content
Purchase Mortgage Loan
Get Pre-Approved

FHA loans in New Jersey

Quick answer

FHA loans in New Jersey require 3.5% down with a 580+ credit score; on a $427,600 home that's about $14,966. County FHA limits start at $541,287 for one-unit homes in lower-cost areas.

By Purchase Mortgage Loan Editorial Team Checked against official sources per our editorial standardsLast updated

FHA loan snapshot for New Jersey

ItemEstimate
Minimum down payment3.5%
Minimum credit score580
Typical NJ home value$427,600
3.5% down on typical home$14,966
20% down on typical home$85,520
Avg. effective property tax2.23%/yr (~$795/mo)
Income for typical home (31% rule)$153,000

Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.

Which New Jersey programs pair with FHA loans?

  • First-Time Homebuyer Mortgage Program: A fixed-rate first mortgage for eligible first-time buyers.
  • Down Payment Assistance Program: Forgivable assistance (up to a set dollar amount) paired with an NJHMFA first mortgage.

Details and current limits: New Jersey Housing and Mortgage Finance Agency (NJHMFA).

Who is an FHA loan best for?

FHA is designed for buyers with modest savings or credit that's still being built. Because the government insures the lender against loss, lenders can approve borrowers they might otherwise decline.

  • Credit scores between 580 and 680.
  • Debt-to-income ratios up to about 50% with compensating factors.
  • Buyers using gift funds for the entire down payment.
  • Buyers who had a bankruptcy 2+ years ago or foreclosure 3+ years ago.

How much does FHA mortgage insurance cost?

The upfront premium (UFMIP) is 1.75% of the base loan amount and is usually rolled into the loan. The annual premium for most 30-year loans is 0.55% of the balance, paid monthly. With less than 10% down, annual MIP lasts for the life of the loan; with 10% or more, it ends after 11 years. Many owners later refinance into a conventional loan to drop MIP.

FHA loans in New Jersey cities

FHA in NewarkFHA in Jersey CityFHA in PatersonFHA in ElizabethFHA in Toms RiverFHA in TrentonFHA in CliftonFHA in CamdenFHA in BayonneFHA in LakewoodFHA in PassaicFHA in East OrangeFHA in Union CityFHA in VinelandFHA in HobokenFHA in New BrunswickFHA in Perth AmboyFHA in PlainfieldFHA in West New YorkFHA in HackensackFHA in SayrevilleFHA in SicklervilleFHA in LindenFHA in KearnyFHA in Fort LeeFHA in Atlantic CityFHA in Fair LawnFHA in GarfieldFHA in Long BranchFHA in WestfieldFHA in PrincetonFHA in RahwayFHA in EnglewoodFHA in BergenfieldFHA in Old BridgeFHA in MillvilleFHA in BridgetonFHA in ParamusFHA in RidgewoodFHA in LodiFHA in Cliffside ParkFHA in CarteretFHA in South PlainfieldFHA in SomersetFHA in GlassboroFHA in North PlainfieldFHA in SummitFHA in RoselleFHA in HillsboroughFHA in ParsippanyFHA in LindenwoldFHA in SecaucusFHA in Elmwood ParkFHA in PleasantvilleFHA in MorristownFHA in Palisades ParkFHA in WoodbridgeFHA in HarrisonFHA in HawthorneFHA in Tinton Falls

Frequently asked questions

Yes. FHA loans are available statewide in New Jersey through approved lenders, subject to county loan limits where they apply.

Often yes. New Jersey Housing and Mortgage Finance Agency (NJHMFA) and local programs frequently pair assistance with FHA, conventional, VA or USDA first mortgages. Eligibility depends on income, price and program rules.

Answer a few questions on Purchase Mortgage Loan and we'll match you with lenders and loan officers in our network who serve New Jersey.

Get matched with FHA lenders in New Jersey

Answer a few quick questions and get matched with purchase mortgage lenders in your area. Free, and it won't affect your credit score.

Get My Matches

Figures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.