Are their benefits with an FHA vs Conventional Loan ?

[Alyssa Davis]

I'm looking to buy my first property as a buy and hold, with the intention of fixing it up (minor repairs needed) and either house hacking or renting out the entire place. I have a great credit score and have been pre-approved for a conventional loan with as little as 3% down (although I'd plan to put down at least 5%).

The conventional loan seems very advantageous because most sellers don't seem to want to deal with the FHA/prefer conventional or cash & can demand it in a very competitive market (Sacramento CA), the PMI would automatically go away once I'm 20% in (vs having to refinance into a new loan with FHA), etc.

With this in mind, is there any reason I should even consider an FHA. Are their benefits that I can take advantage of (assuming I plan to live there for a >= a year and rent out the other bedrooms/house hack) that I don't get with a conventional loan, or is FHA really only beneficial if you don't have good credit?