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Unfortunately the Fderal Housing Administration failed. By November 2012, the Federal Housing Administration was essentially bankrupt.

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People might argue that the Federal Housing Administration could lead to more problems, and that government losses from the FHA could lead up to $100 billion if it continued.

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Resposibile use of Government Funding?: 

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Resposibile use of Government Funding?: 

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In the beginning the Federal Housing of Administration was sucessful, but later on it crashed and lead to risky borrowers needing money from from the FHA and suffer losses.

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This program was sucessful in the beggining because during the Great Depression, lending practices increased the number of people who could afford a down payment on a house, increasing the size of the market for single family homes.

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The Federal Housing Administration was created due to the National Housing Act of 1934. It set standards for construction and underwritting & insuring loans made by banks and other private lenders for home building

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To improve housing standards & conditions, provide and aquedate home financing system through the insurance of mortgage loans to stabilizie the Mortgage market.