FHA loans do not require a large down payment. Currently a down payment can be as low as 3%. FHA loans are assumable. While this may mean nothing as long as mortgage interest rates remain low, if rates increase, this can be a benefit for selling the home. FHA loans have lower originations fees. FHA also uses the base amount, or the amount of the actual loan without the loan fees, for calculating discount points and the interest percentage. For those of us who are not math experts, this means lower costs for the borrower.