FHA vs VA Loans

Comparing FHA and VA loans for Florida borrowers — which is better if you qualify for both?

Written by Renzo Johnson, Licensed MLO · NMLS #PENDING · Last updated: February 2026

  • Down payment: FHA 3.5% vs VA $0
  • Mortgage insurance: FHA MIP (permanent) vs VA $0 PMI
  • Funding fee: FHA 1.75% UFMIP vs VA 1.25-2.15% funding fee
  • Rates: VA rates are typically lower than FHA
  • DTI: FHA 57% vs VA no official cap (residual income test)
  • If you qualify for VA: VA wins in almost every scenario
  • VA advantage: no PMI saves $100-300+/month vs FHA MIP
  • VA advantage: $0 down saves $14,000+ on a $400K home
  • Only reason to choose FHA over VA: investment property (VA is owner-occupied only)