Last updated: April 23, 2026 · By Shannon Swartz, NMLS #112844
FIRST-TIME HOMEBUYER · 15 STATES · HUNDREDS OF LENDERS
First-Time Homebuyer Loans — Lower Down Payments, Real Human Help, Close in 25 Days
Buying your first home in one of 15 states? PierPoint Mortgage matches first-time buyers with FHA, Conventional 97, VA, and state-specific down-payment-assistance programs across hundreds of wholesale lenders. 32 years licensed, 4.9★ from 152 verified reviews, NMLS #112844.
First-time homebuyer in the United States? You have more low-down-payment options than most buyers realize. FHA loans require just 3.5% down, Conventional 97 needs 3%, VA loans are 0% down for veterans, and most states offer down-payment assistance grants. PierPoint Mortgage shops hundreds of lenders to match you to the right program. Call (844) 241-7720 for a free rate comparison.
What loan programs are available for first-time homebuyers?
First-time buyers qualify for lower down payments and more flexible credit requirements than repeat buyers. Here are the most common programs we match borrowers to:
FHA Loan
3.5% down, 580+ credit. Government-backed, flexible DTI, works for most first-time buyers with fair credit. Most popular FTHB choice.
FHA loan details →
Conventional 97
3% down, 620+ credit. Fannie/Freddie’s first-time buyer option. PMI cancels at 20% equity. Best for strong credit.
Conventional details →
VA Loan
0% down, no PMI. For veterans and active-duty service members. Closes in under 25 days with PierPoint.
VA loan details →
USDA Loan
0% down, rural eligible. For homes in USDA-designated areas. Income limits apply.
USDA loan details →
Down Payment Assistance
State-specific grants. California, Florida, Georgia, Michigan, and others offer DPA up to $15,000. We check eligibility on your application.
Jumbo First-Time
High-cost markets. For loans over $766,550. Stricter credit (720+) but available for first-timers in LA, Miami, Seattle.
Jumbo details →
What credit score do I need as a first-time homebuyer?
The minimum credit score depends on the loan program. Here’s the range across common first-time buyer products:
- FHA: 580 minimum (some lenders go to 500 with 10% down)
- Conventional 97: 620 minimum
- VA: 580+ typical (no official minimum, lender-set)
- USDA: 640 minimum
- Jumbo: 720+ for most lenders
PierPoint works with lenders who go as low as 580 for FHA. If your score needs work, we’ll tell you exactly what to fix before you apply — credit repair typically takes 30-90 days.
How much down payment do first-time buyers actually need?
Much less than you think. The 20% down myth costs first-time buyers years of waiting unnecessarily. Here’s the reality:
- FHA: 3.5% down on a $400,000 home = $14,000
- Conventional 97: 3% down on $400,000 = $12,000
- VA: $0 down on any price (veterans only)
- USDA: $0 down (rural areas)
- With DPA grants: as little as $0-$5,000 out of pocket
You’ll also need closing costs (2-3% of loan amount) and reserves (1-2 months of payments). We’ll calculate exactly what you need before we match you to a lender.
How does the first-time homebuyer process work?
1
Pre-Approval in 10 Min
Apply online, get matched to the right program. PierPoint pre-approves most buyers within 10 minutes.
2
Shop Hundreds of Lenders
We compare rates across hundreds of wholesale lenders to find your best loan.
3
Make Offers With Confidence
Pre-approval letter in hand, house hunt with a real budget. Sellers take pre-approved buyers seriously.
4
Close in 25 Days
Our average first-time buyer closes in 25 days — among the fastest in the industry.
Frequently asked questions about first-time homebuyer loans
Not directly — rates depend on credit score, loan type, and down payment, not on whether you’re a first-time buyer. However, first-time buyer programs often have lower down-payment requirements, lower PMI rates, and access to down-payment assistance grants that effectively reduce your total cost of borrowing.
Most “first-time homebuyer loans” are actually regular FHA, Conventional 97, VA, or USDA loans with first-time buyer features like 3% down or access to down-payment assistance. The loan itself is identical to what repeat buyers use — the advantages are typically in qualification criteria and grant eligibility.
PierPoint Mortgage closes first-time homebuyer loans in an average of 25 days. FHA and VA loans typically close in 25-30 days, while conventional loans can close in as few as 21 days with all documents ready. Speed depends on appraisal turnaround and how quickly you return requested documents.
Closing costs typically run 2-3% of the loan amount. On a $400,000 loan, expect $8,000-$12,000 in closing costs including origination fees, appraisal, title insurance, prepaid taxes, and recording fees. Some first-time buyer programs allow seller concessions up to 6% or closing-cost assistance grants that reduce out-of-pocket.
Yes. FHA loans accept credit scores as low as 580 with 3.5% down, and some FHA lenders go down to 500 with 10% down. If your score is below 580, PierPoint will give you a 30-90 day credit improvement plan showing exactly what to pay off or dispute to reach qualifying territory.
Most first-time buyers qualify for a home priced at 3-5x their annual household income. Lenders use a 43% maximum debt-to-income ratio (housing payment + other debts vs gross income). PierPoint pre-qualifies borrowers in 10 minutes and gives you a specific maximum loan amount, not a range.
Ready to start your first-time homebuyer application?
Get pre-approved in 10 minutes. Free rate comparison across hundreds of lenders. No credit pull until you’re ready.
Apply Now — 10 Minutes
Or call (844) 241-7720 · NMLS #112844 · 4.9★ from 152 verified reviews
