Delaware FHA Loans at a Glance: just 3.5% down · FICO from 580 · New Castle limit $630,200 · pairs with the Delaware Mortgage Program DPA · no sales tax · NMLS #1826020
Delaware FHA Home Loans · Direct Lender Since 1998

FHA Loans Delaware

Buy a Delaware home with as little as 3.5% down and a credit score from 580. From the Wilmington job corridor to the no-sales-tax beach towns of Sussex County, FHA opens the door – and it pairs with the state’s Delaware Mortgage Program down-payment help of up to 5%.

  • 3.5% down with a 580+ FICO (10% down from 500-579)
  • Pair the Delaware Mortgage Program (Take5) – a 0% deferred second up to 5%
  • New Castle (Wilmington/Newark) $630,200; Kent & Sussex $541,287
  • No state sales tax – a draw for buyers and retirees
  • Gift funds welcome; seller can pay up to 6% of closing costs

Start My Delaware FHA Application →

Get Pre-Approved for a Delaware FHA Loan

Fast, friendly, no obligation.

Get Your Free Quote! No Credit Pull Required.

★ 3.5% down★ 580 credit OK★ DE Mortgage Program★ No sales tax★ First-time friendly★ Serving DE since 1998

Why an FHA loan works in Delaware

An FHA loan is a government-insured mortgage that helps Delaware buyers qualify with flexible credit, a low down payment and higher debt-to-income than conventional financing. In a small state with a hot beach market, that flexibility keeps ownership within reach.

Delaware pairs a Wilmington employment corridor with a booming, no-sales-tax beach-retiree market in Sussex County. Whether you are buying your first home in Middletown or a place near Lewes, an FHA loan stacked with Delaware Mortgage Program help gets you to closing with less cash down. Start your application →

Delaware FHA loan requirements (2026)

Minimum down payment3.5% with a 580+ credit score (10% down with a 500-579 score)
Minimum credit scoreFrom 580; we also work with buyers rebuilding credit
Mortgage insurance (MIP)1.75% upfront (financed into the loan) plus an annual MIP around 0.15%-0.55%, paid monthly
Debt-to-income (DTI)Generally up to 43%-50% with compensating factors and automated approval
Down-payment sourceYour own funds, gift funds from family, or eligible down-payment assistance
Seller concessionsThe seller can contribute up to 6% toward your closing costs
Property typesSingle-family, FHA-approved condos, townhomes, and 2-4 unit owner-occupied Delaware homes
OccupancyPrimary residence (you will live in the home)
Co-borrowersNon-occupant co-borrowers (e.g., a parent) are allowed to help you qualify

Delaware down payment assistance you can pair with FHA

Your FHA loan pairs with the Delaware State Housing Authority’s Delaware Mortgage Program – all down-payment help is a 0% deferred second with no monthly payment:

Take5

A 0% deferred second equal to 5% of the first-mortgage amount for down payment and closing (Welcome Home track).

Keys4You

A 0% deferred second equal to 4% of the first-mortgage amount.

First State

A 0% deferred second equal to 3% of the first-mortgage amount.

Diamond in the Rough

5% DPA plus an FHA 203(k) limited rehab, for buyers improving a home (Welcome Home track).

Who qualifies

Welcome Home (first-time buyers) or Open Door (repeat/expanded eligibility), within income and price limits by household size and county.

Gift funds & seller credits

Combine gift funds and up to 6% in seller credits with FHA and DSHA help to cut cash to close.

Ask about the Delaware Mortgage Program – a 0% deferred second up to 5%.
See If You Qualify

Assistance programs have income, price and funding limits, are first-come while funds last, and are subject to change and eligibility. We confirm what you qualify for.

Ready to see how much home you can buy in Delaware with 3.5% down? Get pre-approved today.
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2026 Delaware FHA loan limits by county

FHA loan limits are set by county. New Castle (part of the Philadelphia metro) runs above the floor; Kent and Sussex are at the floor:

New Castle County – Wilmington/Newark (1-unit)$630,200 (Philadelphia-Camden-Wilmington metro)
Kent County – Dover (1-unit)$541,287
Sussex County – Rehoboth, Lewes, Bethany (1-unit)$541,287
2-unit properties (floor)$693,050
3-4 unit properties (floor)$837,700 (3-unit) and $1,041,125 (4-unit)

2026 one-unit FHA limits set annually by HUD; 2-4 unit limits are higher. We confirm the exact limit for your Delaware county before you write an offer.

First-time buyer, family, or 55+ mover – we have a Delaware FHA program for you.
Start My Application
Buy a Delaware home with an FHA loan - apply nowYour Delaware home is closer than you think →

Delaware FHA highlights

  • 3.5% down – keep more cash in your pocket
  • 580 credit accepted; flexible, common-sense underwriting
  • Gift funds & DSHA help can cover your down payment
  • Buy a home, condo or up to a 4-unit you live in
  • Refinance later with an FHA Streamline – no appraisal needed

Get My FHA Pre-Approval →

Delaware FHA loan calculators

Run the numbers on your Delaware FHA loan in seconds. These estimators are for planning only – apply for your exact, personalized figures.

1. FHA monthly payment

Estimate your full monthly payment including FHA mortgage insurance.

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Total monthly payment
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Principal, interest & MIP

2. Down payment & cash to close

See your down payment and estimated cash after seller credits.

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Estimated cash to close
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Down payment amount

3. How much home can I afford?

Estimate your FHA price range from income and monthly debts.

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Estimated home price
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Max housing payment

4. FHA loan amount + MIP

See your base loan plus the 1.75% upfront MIP financed in.

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Total financed (with UFMIP)
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Base loan / 1.75% UFMIP

Estimates only and not a commitment to lend. FHA charges 1.75% upfront MIP (financed) plus a monthly annual premium (~0.55% here for illustration). Actual figures depend on your property, credit and qualification.

Stack the Delaware Mortgage Program with FHA - a deferred second up to 5%.
See If I Qualify

Delaware cities we serve for FHA loans

As a direct FHA lender since 1998, we help buyers across every Delaware metro. A few of the cities where we finance FHA purchases and refinances:

  • Wilmington
  • Dover
  • Newark
  • Middletown
  • Bear
  • Smyrna
  • Milford
  • Seaford
  • Georgetown
  • Rehoboth Beach
  • Lewes
  • Millsboro
  • New Castle
  • Elsmere
  • Camden
  • Harrington
  • Laurel
  • Delmar
  • Ocean View
  • Bridgeville

Do not see your city? Start your application → - we lend statewide across Delaware.

Best Delaware places for families & top schools

Buying where the schools are strong protects your family and your home's value. These Delaware districts consistently earn top marks:

Appoquinimink (Middletown)

One of Delaware's top districts in a fast-growing area.

Cape Henlopen (Lewes, Rehoboth)

Highly rated coastal Sussex County district.

Caesar Rodney (Camden, Dover area)

Well-regarded Kent County schools.

Brandywine (north Wilmington)

Established New Castle County district.

Red Clay Consolidated (Hockessin)

Sought-after schools west of Wilmington.

Indian River (coastal Sussex)

Growing schools serving the beach communities.

Best Delaware 55+ & active-adult communities

Delaware has a growing 55+ market, and FHA can finance a home in an age-restricted community (condos must be FHA-approved). Popular options include:

Del Webb communities (Ocean View/Bayside)

Del Webb active-adult living near the Sussex beaches.

Independence (Millsboro)

Popular gated 55+ community in coastal Sussex.

Heritage Shores (Bridgeville)

Amenity-rich active-adult and golf community.

The Peninsula (Millsboro)

Resort-style community with active-adult appeal.

K. Hovnanian's Four Seasons (Sussex)

Active-adult neighborhoods along the coast.

Condominium communities (Rehoboth/Bethany)

FHA-approved 55+ condos near the beach.

Start your Delaware FHA loan today

Whether it is your first home, a bigger place near great schools, or a fresh start in a 55+ community, we match you to the right FHA program and get you pre-approved fast - with as little as 3.5% down.

  • Same-week pre-approval
  • Down-payment assistance and gift funds welcome
  • Friendly, local Delaware guidance since 1998

Apply for My Delaware FHA Loan →

Apply for your Delaware FHA home loanGet pre-approved with 3.5% down →

Delaware FHA loan programs

FHA Purchase

3.5% down to buy a Delaware home, condo or 2-4 unit you live in.

FHA Streamline Refinance

Lower your rate or payment with reduced documentation and no new appraisal required.

FHA 203(k) Renovation

Roll the purchase price and renovation costs into one FHA loan.

FHA Cash-Out Refinance

Tap your Delaware home equity up to FHA limits.

FHA Condo Loans

Financing for units in FHA-approved Delaware condominium projects.

Down-Payment Assistance

Pair your FHA loan with Delaware DPA and gift funds to buy with less cash.

Delaware housing & FHA outlook for 2027

What Delaware FHA buyers should watch heading into 2027:

No-sales-tax beach retirees

Delaware's zero sales tax, no tax on Social Security and low property taxes make Sussex beaches a top East Coast retiree target - fueling a huge 55+ pipeline.

A split market

New Castle's $630,200 limit serves the Wilmington commuter corridor; Kent and Sussex stay at the floor despite beach-area price surges.

Coastal buyers lean on DPA

With Sussex at the floor, beach buyers increasingly use DPA (Take5) or step inland to Millsboro, Milford and Georgetown.

Stable Wilmington employment

Banking and logistics (including Amazon) keep New Castle demand steady into 2027.

Outlook only, not a guarantee or financial advice. Market conditions change; we give you current, personalized numbers when you apply.

How to get a Delaware FHA loan

Get pre-approved

Apply online in minutes and we confirm your budget, rate and down payment - with as little as 3.5% down.

Find your home

Shop with confidence in the Delaware community and school zone you want; your pre-approval makes your offer stronger.

Underwrite & appraise

We handle the FHA appraisal and approval - flexible on credit, gift funds and DTI.

Close & move in

Sign, get your keys, and start building equity in your Delaware home.

Delaware FHA loan FAQ

What are the 2026 FHA loan limits in Delaware?

New Castle County (Wilmington/Newark), part of the Philadelphia metro, is $630,200 for a one-unit home. Kent County (Dover) and Sussex County (the beaches - Rehoboth, Lewes, Bethany) are at the $541,287 floor. Two-to-four unit limits are higher.

How does the Delaware Mortgage Program help with FHA?

All of the program's down-payment help is a 0% deferred second with no monthly payment, repaid only when you sell, refinance or transfer title: Take5 (5%), Keys4You (4%) or First State (3%) of the first-mortgage amount. It pairs with an FHA loan under the Welcome Home or Open Door track.

How much down payment do I need for an FHA loan in Delaware?

Just 3.5% of the purchase price with a credit score of 580 or higher (10% down if your score is 500-579). Your down payment can come from savings, a gift from family, or eligible down-payment assistance.

Can I use an FHA loan to buy a condo in Delaware?

Yes - the condominium project must be on the FHA-approved list, or we can request single-unit (spot) approval. We check your specific building.

Can I use an FHA loan as a first-time buyer in Delaware?

Absolutely - FHA is the most popular loan for first-time buyers thanks to 3.5% down, a 580 credit minimum and gift-fund allowance, and it pairs with the Delaware Mortgage Program.

Is CambridgeHomeLoan.com a direct FHA lender?

Yes - we are a direct lender (NMLS #1826020) serving homebuyers since 1998, with friendly guidance from application to closing.

Apply for your Delaware FHA loan

Get pre-approved in minutes - 3.5% down, credit from 580, gift funds and down-payment assistance welcome. A direct FHA lender serving Delaware since 1998.

Get Pre-Approved for a Delaware FHA Loan

Fast, friendly, no obligation.

Get Your Free Quote! No Credit Pull Required.

Start My Application →

Serving Delaware homebuyers Since 1998!
© 2026 CambridgeHomeLoan.com  ·  NMLS #1826020  ·  4830 W Kennedy Blvd, Tampa, FL 33609  ·  (800) 826-5077  ·  Equal Housing Lender  ·  NMLS Consumer Access

Rates, terms, FHA loan limits and program guidelines are for 2026, subject to change, and depend on the property, credit and qualification. Not a commitment to lend. This is not a government agency. Equal Housing Lender.


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