FHA-Insured Loans in Relation to HUD 232 Loans
FHA-insured loans are mortgages backed by FHA mortgage insurance. FHA mortgage insurance helps lenders hedge against the risk of a loan default. This encourages lenders to lend to borrowers that they might ordinarily see as too risky. HUD 232 and HUD 232/223(f) loans are both examples of FHA-insured loans.