Think You Don't Qualify as a First-Time Buyer?
You might be surprised. The definition is broader than most people think. Take our quick quiz to find out if you qualify for special first-time buyer programs, grants, and lower down payments. And when you're ready to budget, learn what realtor fees actually cost so there are no surprises.
Down payments from
3% - 3.5%
Do You Qualify? Let's Find Out!
Answer a few quick yes/no questions. According to HUD guidelines , you may qualify even if you've owned property before.
Who Qualifies as a First-Time Buyer?
According to HUD (U.S. Department of Housing and Urban Development) , a first-time home buyer is someone who:
- Has never owned a home before — the traditional definition
- Has not owned a principal residence in the past 3 years — you could have owned rental property!
- Single parent who previously owned only with a former spouse
- Displaced homemaker who only owned property with a spouse
- Only owned non-compliant property that couldn't meet building codes
Example: You could own a rental property continuously for 6 years, but if you haven't lived in a home you owned for the past 3 years, you still qualify as a first-time buyer!
Once the three-year rule confirms you qualify, the next question is which mortgage fits — it helps to compare the loan options available to first-time buyers side by side. And before you start saving, get an honest picture of what you'll actually need with our down payment reality check. If your credit history is a concern, our guide on how to buy a house with bad credit walks through which programs accept lower scores and how to strengthen the rest of your application.
Your First-Time Buyer Success Checklist
Follow these steps to make your home buying journey smooth and successful. If you're not quite ready to buy, learn about rent-to-own as a path to buying. Check out our detailed process guide for more information, plus what to expect when your offer goes under contract and how to avoid the open-house dual-agency trap.
Have a Question? Ask Emmett
Not sure where to start? Get plain-English answers about credit, down payment, programs, and more — no forms, no commitment.
Ask Emmett nowCheck Your Credit Score
Review your credit report for errors. FHA loans accept scores as low as 580 with 3.5% down.
Learn about credit requirementsCalculate Your Budget
Use our affordability calculator to see what you can comfortably afford.
Try our calculatorsGather Documents
Collect pay stubs, W-2s, tax returns, and bank statements from the past 2 years.
Download document checklistGet Pre-Approved
A pre-approval letter shows sellers you're serious and speeds up your home search.
Start your pre-approvalExplore Down Payment Assistance
Many state and local programs offer grants or low-interest loans for first-time buyers.
Read our DPA guideUnderstand the Timeline
From pre-approval to closing typically takes 30-45 days. Plan accordingly!
See the full processFeeling overwhelmed? Skip the reading and just ask. Ask Emmett →
Best Loan Programs for First-Time Buyers
Explore these popular options. Visit CFPB's homeownership resources for unbiased guidance.
FHA Loans
3.5% Down
- • Credit scores from 580
- • Gift funds allowed for down payment
- • Flexible debt-to-income ratios
Conventional 97
3% Down
- • Lower mortgage insurance than FHA
- • PMI can be removed at 20% equity
- • Competitive interest rates
VA Loans
0% Down
- • For veterans & active military
- • No private mortgage insurance
- • Competitive rates
Full breakdown including HomeReady, Home Possible, USDA, and how to choose.
First-Time Buyer FAQs
How much do I need for a down payment as a first-time buyer?
Less than most people think. FHA loans start at 3.5% down, Conventional 97 at 3%, and VA and USDA loans allow 0% down for eligible buyers. Down payment assistance can lower that even further.
What credit score do I need to buy my first home?
FHA loans accept scores as low as 580 with 3.5% down (and 500-579 with 10% down). Conventional loans typically want 620+. A higher score means a better rate, but you have options across the range.
Which loan program is best for first-time buyers?
It depends on your credit, savings, and goals. FHA is flexible on credit, Conventional 97 keeps mortgage insurance lower, and VA/USDA can mean zero down. See the full comparison in our first-time buyer loan guide, or ask Emmett for a personalized recommendation.
First-time buyer guides
Guides & articles for first-time buyers
Portable Mortgages: Can You Take Your Mortgage to a New Home?
A portable mortgage lets you move your existing loan and rate to a new home. It is common in Canada and the UK but rare in the US. Here is the reality, and the workaround.
Read more
What Is Rent-to-Own and How Does It Work?
Rent-to-own lets you rent a home with the option to buy later, with part of your rent going toward the purchase. Learn how it works and the real risks.
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How to Buy a Foreclosed Home
Buying a foreclosure means purchasing a lender-repossessed home, often below market. Learn the three stages, financing options, and real risks.
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What Realtor Fees Actually Cost in 2026
Realtor commissions average about 5.7% of the sale price in 2026, split between listing and buyer agents. On a $400k home that's about $22,800.
Read more
How to Afford a $300k House
To afford a $300,000 home you generally need about $54,000 to $75,000 in household income, and far less down payment than most people think, as little as 3% to 3.5%.
Read more
How to Afford a $400k House
To afford a $400,000 home you generally need about $68,000 to $94,000 in household income and a down payment that can be far smaller than 20%, as little as 3% to 3.5%.
Read moreReady to Start Your Homeownership Journey?
Get personalized guidance from Emmett Clark, a mortgage professional with 20+ years of experience helping first-time buyers.
Licensed in 18 states • NMLS #233747 • (866) 617-7381
Emmett Clark
Licensed Mortgage Loan Officer · NMLS #233747 · 20+ Years Experience