How to Compete with a FHA Loan

[Max Moncur]

My wife and I have been looking for a home in the Sacramento, CA and east bound area to house hack in and were hoping to use an FHA loan. We've put in a few offers and on the last one even raised our offer significantly to hopefully compete better for a home setup we really liked. We haven't had any luck so far as it always seems there's an all cash or conventional loan buyer.

So my question is, are there any suggestions on how to make an FHA loan look better than just offering way over reasonable price? Or is this just part of using an FHA loan and the current market and we just have to hope we get lucky one day? Thanks in advance for any tips!

PS - we've tried writing letters to the home owners and a few listing agents have told us they wont show the letters to them due to discrimination laws...