Who administers the FHA loan program?

The Federal Housing Administration (FHA) loan program is administered by the Department of Housing and Urban Development (HUD). HUD is responsible for overseeing the implementation of federal housing laws and programs, including those that facilitate access to home financing for low- to moderate-income individuals through FHA loans. This program is specifically designed to make homeownership more attainable and accessible, providing options that include lower down payment requirements and more flexible credit criteria.

The other entities mentioned within the choices operate in different capacities related to housing finance. The Federal Reserve primarily focuses on the monetary policy and regulation of banking institutions rather than direct loan programs. Fannie Mae, while it plays a significant role in the secondary mortgage market by buying mortgages to expand the availability of mortgage credit, it does not administer the FHA loan program itself. The Department of Justice is involved in enforcing laws and regulations, including those related to housing discrimination, but does not administer housing programs like the FHA loans.