Which type of loans does the Homeowners Protection Act (HPA) not apply to?

The Homeowners Protection Act (HPA) primarily deals with the cancellation of private mortgage insurance (PMI) for homebuyers. It applies specifically to "conventional loans," which include loans not insured or guaranteed by the federal government. FHA loans, on the other hand, are backed by the Federal Housing Administration, which has its own set of regulations regarding mortgage insurance. The HPA does not govern these loans because they have distinct requirements and protections regarding mortgage insurance.

Therefore, the correct answer is that the Homeowners Protection Act does not apply to FHA loans, as these loans follow different provisions established by government guidelines, distinct from those applicable to conventional loans.