FHA loans--a great option for many first time buyers

Did anybody catch Robert Siegel's piece on the resurrection of FHA loans on All Things Considered last night? It was an absolutely wonderful exposition on the Federal Housing Administration's history dating back to the Great Depression. In it, he discusses how FHA backed loans--once a popular choice for first time home buyers--fell out of favor in the late 90's. Consumers instead preferred the easier, quicker loan packages offered by mortgage companies that catered to high-risk buyers with poor credit, low income or no money for a down payment. Now that many of those companies have closed their doors do to poor management (in part because they recklessly handed out high risk loans to buyers who then defaulted,) the tried and true FHA loan is once again proving a valuable option. If you are looking to buy a home and considering what kind of loan program would work for you, do yourself a favor and listen to this piece. You can hear an audio recording of the story by clicking here.