In the heady days of the housing boom, so-called FHA loans ended up being the lonely guy sitting on the sidelines.
After all, at that time the mortgage market had a free-flowing and apparently limitless pipeline of funds for borrowers who had little to no money for a downpayment. Demand for the Federal Housing Administration's programs to help first-time and low-income buyers dwindled.
That was then, as they say. This is now, when lending policies have gotten considerably more stringent in the wake of the housing downturn.