Who Is Considered a First-Time Homebuyer in Maine?

A first-time homebuyer in Maine or elsewhere doesn’t actually have to have never bought a home; they just must have had no ownership interest in a primary home in the past three years.

For the purposes of qualifying for a home mortgage loan, the U.S. Department of Housing and Urban Development (HUD) also includes:

•   A single parent who has only owned a home with a partner while married

•   A displaced homemaker who has only owned a home with a spouse

•   Someone who has owned a principal residence not permanently affixed to a permanent foundation

•   Someone who has only owned a property that wasn’t in compliance with state, local, or model building codes

If you’re looking for a good value in the Pine Tree State, check out this list of the most affordable places in Maine.

Recommended: First-Time Homebuyer Guide

3 Maine Programs for First-Time Homebuyers

Here are a few of the programs that offer low-interest mortgage loans or down payment and closing cost assistance to first-time homebuyers in Maine.

Active-duty military members, retired members, and veterans should know that the Maine housing authority waives the first-time homebuyer requirement for them, and MaineHousing provides a 0.50% interest rate reduction on a mortgage.

1. MaineHousing: First Home Loan Program

You may be eligible for a loan that requires little or no down payment with MaineHousing’s First Loan Program, which offers an FHA, USDA, VA, or conventional 30-year fixed-rate mortgage (except a manufactured home’s age determines the loan term, from 20 to 30 years).

The minimum FICO^® credit score is 640, and you should plan to use no more than 33% of your income for mortgage expenses.

Household income and purchase price limits apply.

With this program you can buy:

•   New and existing single-family homes

•   Owner-occupied two- to four-unit properties

•   Condominiums

•   Permanently attached manufactured homes built within the last 20 years

To apply, contact an approved lender .

2. MaineHousing: Advantage Down Payment Program

Need help with your down payment or closing costs? This program can provide $5,000 in cash toward those needs when paired with a First Home mortgage. To qualify, you must take a homebuyer education class and contribute at least 1% of the loan, although your contribution may be a gift. Learn more here .

3. MaineHousing: Multi-Unit Advantage

This program provides closing cost and down payment assistance per unit for a one- to four-unit property. Here’s how much you can get:

•   2 units: $8,000

•   3 units: $11,000

•   4 units: $14,000

The same eligibility criteria and income/purchase price limits as First Home apply. You must complete a landlord education course as well as a homebuyer education class, and contribute at least 1% of the loan.

An approved lender can get you started.

How to Apply to Maine Programs for First-Time Homebuyers

To apply for any of the above programs, contact a MaineHousing-approved lender. A participating lender can help determine how much home you can afford and identify any credit issues you may need to work on.

A home affordability calculator can also help you estimate what you can afford.

Recommended: The Different Types of Mortgage Loans

Federal Programs for First-Time Homebuyers

Several federal government programs are designed for people who have low credit scores or limited cash for a down payment. Although most of these programs are available to repeat homeowners, like state programs, they can be especially helpful to people who are buying a first home or who haven’t owned a home in several years.

The mortgages are generally for single-family homes, two- to four-unit properties that will be owner occupied, approved condos, townhomes, planned unit developments, and some manufactured homes.

Federal Housing Administration (FHA) Loans

The FHA, which is part of the U.S. Department of Housing and Urban Development (HUD), insures mortgages for borrowers with lower credit scores. Homebuyers choose from a list of approved lenders that participate in the FHA loan program. Loans have competitive interest rates and require a down payment of 3.5% of the purchase price for borrowers, who typically need FICO^® credit scores of 580 or higher. Those with scores as low as 500 must put at least 10% down.

In addition to examining your credit score, lenders will look at your debt-to-income ratio (DTI, your monthly debt payments compared with your monthly gross income). FHA loans allow a DTI ratio of up to 50% in some cases, vs. a typical 45% maximum for a conventional loan.

Gift money for the down payment is allowed from certain donors and will be documented in a gift letter for the mortgage.

FHA loans always require mortgage insurance: a 1.75% upfront fee and annual premiums for the life of the loan, unless you make a down payment of at least 10%, which allows the removal of mortgage insurance after 11 years. For a $300,000 mortgage balance, upfront MIP would be around $5,250 and monthly MIP, at a rate of 0.55%, would be around $137. You can learn more about these loans, including FHA loans for refinance and rehab of properties, by reading up on FHA requirements, loan limits, and rates.

Freddie Mac Home Possible Mortgages

Very low- and low-income borrowers may make a 3% down payment on a Home Possible^® mortgage. These loans allow various sources for down payments, including co-borrowers, family gifts, employer assistance, secondary financing, and sweat equity.

The Home Possible mortgage is for buyers who have a credit score of at least 660.

Once you pay 20% of your loan, the Home Possible mortgage insurance will be canceled, which will lower your mortgage payments.

Fannie Mae HomeReady Mortgages

Fannie Mae HomeReady^® Mortgages allow down payments as low as 3% for low-income borrowers. Applicants generally need a credit score of at least 620; pricing may be better for credit scores of 680 and above. Like the Freddie Mac program, HomeReady loans allow flexibility for down payment financing, such as gifts and grants.

For income limits, a comparison to an FHA loan, and other information, go to this Fannie Mae site .

Fannie Mae Standard 97 LTV Loan

The conventional 97 LTV loan is for first-time homebuyers of any income level who have a credit score of at least 620 and meet debt-to-income criteria. The 97% loan-to-value mortgage requires 3% down. Borrowers can get down payment and closing cost assistance from third-party sources.

Department of Veterans Affairs (VA) Loans

Eligible active-duty members of the military, veterans, reservists, and surviving spouses may apply for loans backed by the Department of Veterans Affairs. A few notes on exactly what is a VA loan: It can be used to buy, build, or improve a home. It has a lower interest rate than most other mortgages, and it doesn’t require a down payment. Most borrowers pay a one-time funding fee that can be rolled into the mortgage.

Another benefit of VA loans is that they do not require private mortgage insurance (PMI) for borrowers who make a down payment of less than 20%. And they have more flexible credit score requirements. In some cases, even those who have previously been in foreclosure or bankruptcy can qualify.

Borrowers applying for a VA loan will need a Certificate of Eligibility from the VA so make sure to review a guide to qualifying for a VA loan as a first step in the process.

Native American Veteran Direct Loans (NADLs)

Eligible Native American veterans and their spouses may use these no-down-payment loans to buy, improve, or build a home on federal trust land. Unlike VA loans listed above, the Department of Veterans Affairs is the mortgage lender on NADLs. The VA requires no mortgage insurance, but it does charge a funding fee.

US Department of Agriculture (USDA) Loans

No down payment is required on these loans to moderate-income borrowers that are guaranteed by the USDA in specified rural areas. Borrowers pay an upfront guarantee fee and an annual fee that serves as mortgage insurance.

The USDA also directly issues loans to low- and very low-income people. For loan basics and income and property eligibility, head to this USDA site .

HUD Good Neighbor Next Door Program

This program helps police officers, firefighters, emergency medical technicians, and teachers qualify for mortgages in the areas they serve. Borrowers can receive 50% off a home in what HUD calls a “revitalization area.” They must live in the home for at least three years.

First-Time Homebuyer Stats for 2025

•   Median home sale price in Maine: $409,200

•   3% down payment: $12,276

•   20% down payment: $81,840

•   Percentage of buyers nationwide who are first-time buyers: 24%

•   Median age of first-time homebuyers: 38

•   Average credit score (vs. average U.S. score of 715): 731

Recommended: Mortgage Prequalification vs. Preapproval

Financing Tips for First-Time Homebuyers

In addition to federal and state government-sponsored lending programs, there are other financial strategies that may help you become a homeowner. After reading up on how to choose a mortgage term, check out these tips on how to lower your mortgage payment:

•  Traditional IRA withdrawals. The IRS allows qualifying first-time homebuyers a one-time, penalty-free withdrawal of up to $10,000 from their IRA if the money is used to buy, build, or rebuild a home. Where IRA withdrawals are concerned the IRS considers anyone who has not owned a primary residence in the past two years a first-time homebuyer. You will still owe income tax on the IRA withdrawal. If you’re married and your spouse has an IRA, they may also make a penalty-free withdrawal of $10,000 to purchase a home. The downside, of course, is that large withdrawals may jeopardize your retirement savings.

•  Roth IRA withdrawals. Because Roth IRA contributions are made with after-tax money, the IRS allows tax- and penalty-free withdrawals of contributions for any reason as long as you’ve held the account for five years. You may also withdraw up to $10,000 in earnings from your Roth IRA without paying taxes or penalties if you are a qualifying first-time homebuyer and you have had the account for five years. With accounts held for less than five years, homebuyers will pay income tax on earnings withdrawn.

•  401(k) loans. If your employer allows borrowing from the 401(k) plan that it sponsors, you may consider taking a loan against the 401(k) account to help finance your home purchase. With most plans, you can borrow up to 50% of your 401(k) balance, up to $50,000, in a 12-month period without incurring taxes or penalties. You pay interest on the loan, which is paid into your 401(k) account. You usually have to pay back the loan within five years, but if you’re using the money to buy a house, you may have up to 15 years to repay.

•  State and local down payment assistance programs. Usually offered at the regional or county level, these programs provide flexible second mortgages for first-time buyers looking into how to afford a down payment.

•  The mortgage credit certificate program. First-time homeowners and those who buy in targeted areas can sometimes claim a portion of their mortgage interest as a tax credit, up to $2,000. There are fees associated with applying for and receiving the mortgage credit certificate that vary by state. Often the savings from the lifetime of the credit can outweigh these fees. Not all states offer this. Consult a tax advisor.

•  Your employer. Your employer may offer access to lower-cost lenders and real estate agents in your area, as well as home buying education courses.

•  Your lender. Always ask your lender about any first-time homebuyer grant or down payment assistance programs available from government, nonprofit, and community organizations in your area.

A home affordability calculator can help you understand how much you can afford to pay for a home.

The Takeaway

First-time homebuyers in Maine may be able to qualify for mortgages paired with down payment assistance. Other first-time buyers can shop for a mortgage that suits their needs among the wide world of home loans.

Who Is Considered a First-Time Homebuyer in New Mexico?

The New Mexico Mortgage Finance Authority and the federal government consider anyone who has not owned a principal home in the past three years a first-time buyer.

The state agency requires all buyers to complete a homebuyer education course before the purchase. Homebuyer education classes can help buyers understand how much home they can afford.

💡 Quick Tip: Want the comforts of home and to feel comfortable with your home loan? SoFi has a simple online application and a team dedicated to closing your loan on time. No surprise SoFi has been named a Top Online Lender in 2024 by LendingTree/Newsweek.

4 New Mexico Programs for First-Time Homebuyers

The New Mexico Mortgage Finance Authority, also known as the MFA, administers several types of home loans through its FirstHOME Program. The agency also offers a down payment assistance program. Here are the details..

1. MFA FirstHOME Loan

The MFA FirstHOME Loan program for first-time buyers offers an FHA, VA, USDA, or housing finance agency preferred conventional loan. It can be paired with New Mexico’s down payment assistance program.

Borrowers must have a minimum credit score of 620 (for buyers with no credit score, alternative credit qualification may be acceptable).

There are household income and purchase price limits unless the buyer is planning to purchase a home in a targeted area. Residences that may be financed must be single-family homes, including manufactured homes that meet current agency or government guidelines for their loan type.

2. MFA FirstDown and FirstDown Plus Loan

This FirstDown Loan program provides a fixed-rate second mortgage loan for down payment and closing cost assistance for first-time homebuyers in New Mexico. FirstDown must be combined with the FirstHome program. The requirements are similar to FirstHome; borrowers must have a minimum credit score of 620 in most cases.

An additional helping hand may be available: FirstDown Plus provides a fixed amount of $15,000 in the form of a 10- year, non-amortizing loan with a 0% interest rate. The $15,000 must be used only for down payment, and it’s a loan, not a grant. The FirstDown Plus loan has no monthly payments and will be forgiven if the borrower continually occupies the home for a full 10-year period and follows the other loan guidelines.

3. MFA HomeNow Program

The New Mexico MFA another assistance program for first-time homeowners: The HomeNow down payment/closing cost assistance program offers a second mortgage with 0% interest and no payments and may be forgiven in 10 years for borrowers who still own and occupy their houses.

There are income limits based on household size, and buyers need a credit score of 620 and need to be utilizing a FirstHome mortgage. Purchase price limits also apply. Funding for this program is sometimes depleted but may also be renewed, so check the MFA site for the latest.

4. MFA HomeForward Program

HomeForward is another option for first-time homebuyers in New Mexico. A HomeForward First Mortgage Loan may be available to prospective borrowers who do not qualify for the FirstHome program. The HomeForward can be used with MFA’s HomeForward DPA program, a second mortgage that can cover up to 3% of the sale price. Again, a credit score of at least 620 is required.

Recommended: Understanding the Different Types of Mortgage Loans

How to Apply to New Mexico Programs for First-Time Homebuyers

The New Mexico Mortgage Finance Authority website contains more information and fact sheets on all of its first-time and repeat buyer mortgage programs and how they work with MFA’s down payment assistance.

The agency does not lend directly but does list participating lenders, making it easier to compare interest rates, fees, and other costs and learn what you qualify for.

Federal Programs for First-Time Homebuyers

Several federal government programs are designed for people who have low credit scores or limited cash for a down payment. Although most of these programs are available to repeat homeowners, like state programs, they can be especially helpful to people who are buying a first home or who haven’t owned a home in several years.

The mortgages are generally for single-family homes, two- to four-unit properties that will be owner occupied, approved condos, townhomes, planned unit developments, and some manufactured homes.

Federal Housing Administration (FHA) Loans

The FHA, which is part of the U.S. Department of Housing and Urban Development (HUD), insures mortgages for borrowers with lower credit scores. Homebuyers choose from a list of approved lenders that participate in the FHA loan program. Consider these details:

•   Loans have competitive interest rates and require a down payment of 3.5% of the purchase price for borrowers, who typically need FICO® credit scores of 580 or higher. Those with scores as low as 500 must put at least 10% down.

•   Lenders will look at your debt-to-income ratio (DTI, your monthly debt payments compared with your monthly gross income). FHA loans allow a DTI ratio of up to 57% in some cases, vs. a typical 45% to 50% maximum for a conventional loan.

•   Gift money for the down payment is allowed from certain donors and will be documented in a gift letter for the mortgage.

•   FHA loans always require mortgage insurance: a 1.75% upfront fee and annual premiums for the life of the loan, unless you make a down payment of at least 10%, which allows the removal of mortgage insurance after 11 years.

•   You can learn more about these loans, including FHA loans for refinance and rehab of properties, by reading up on FHA requirements, loan limits, and rates.

Freddie Mac Home Possible Mortgages

Very low- and low-income borrowers may make a 3% down payment on a Home Possible^® mortgage. These loans allow various sources for down payments, including co-borrowers, family gifts, employer assistance, secondary financing, and sweat equity.

The Home Possible mortgage is for buyers who have a credit score of at least 660.

Once you pay 20% of your loan, the Home Possible mortgage insurance will be canceled, which will lower your mortgage payments.

Fannie Mae HomeReady Mortgages

Fannie Mae HomeReady^® Mortgages allow down payments as low as 3% for low-income borrowers. Applicants generally need a credit score of at least 620; pricing may be better for credit scores of 680 and above. Like the Freddie Mac program, HomeReady loans allow flexibility for down payment financing, such as gifts and grants.

For income limits, a comparison to an FHA loan, and other information, go to this Fannie Mae site .

Fannie Mae Standard 97 LTV Loan

The conventional 97 LTV loan is for first-time homebuyers of any income level who have a credit score of at least 620 and meet debt-to-income criteria. The 97% loan-to-value mortgage requires 3% down. Borrowers can get down payment and closing cost assistance from third-party sources.

Department of Veterans Affairs (VA) Loans

Are you an active-duty member of the military, veteran, reservist or surviving spouse? You may be eligible to apply for loans backed by the Department of Veterans Affairs. Here’s a quick look at what is a VA loan: They can be used to buy, build, or improve homes, have lower interest rates than most other mortgages and don’t require a down payment. Most borrowers pay a one-time funding fee that can be rolled into the mortgage.

Another benefit of VA loans is that they do not require private mortgage insurance (PMI) for borrowers who make a down payment of less than 20%. And they have more flexible credit score requirements. In some cases, even those who have previously been in foreclosure or bankruptcy can qualify.

Borrowers applying for a VA loan will need a Certificate of Eligibility from the VA so make sure to review a guide to qualifying for a VA loan as a first step in the process.

Native American Veteran Direct Loans (NADLs)

Eligible Native American veterans and their spouses may use these no-down-payment loans to buy, improve, or build a home on federal trust land. Unlike VA loans listed above, the Department of Veterans Affairs is the mortgage lender on NADLs. The VA requires no mortgage insurance, but it does charge a funding fee. You can receive more information on these loans by contacting [email protected].

US Department of Agriculture (USDA) Loans

No down payment is required on these loans to moderate-income borrowers that are guaranteed by the USDA in specified rural areas. Borrowers pay an upfront guarantee fee and an annual fee that serves as mortgage insurance.

The USDA also directly issues loans to low- and very low-income people. For loan basics and income and property eligibility, head to this USDA site .

HUD Good Neighbor Next Door Program

This program helps police officers, firefighters, emergency medical technicians, and teachers qualify for mortgages in the areas they serve. Borrowers can receive 50% off a home in what HUD calls a “revitalization area.” They must live in the home for at least three years. For more information, visit the HUD program page.

New Mexico First-Time Homebuyer Stats for 2025

Here’s a snapshot of typical New Mexico home sales transactions.

•  Median home sale price according to Redfin: $368,700

•  3% down payment: $11,061

•  20% down payment: $73,740

•  Average credit score in New Mexico (vs. U.S. average of 715): 702

By Walecia Konrad

(Last Updated – 06/2025)

The Silver State is living up to its glitzy name, but for now the prized commodity may be real estate.

Home sales prices rose 3.2% year-over-year to hit a median of $466,700 in April 2025, according to the real estate firm Redfin. Las Vegas has been on a roll, with prices up 4.2% year-over-year.

Although Nevada prices are on the high side, there are more homes on the market this year than at the same time last year, and a smaller proportion of homes are selling above list price. So first-time homebuyers and others may be able to get in on the action, especially if they take advantage of state and federal programs to help them.

4 Nevada Programs for First-Time Homebuyers

The Nevada Housing Division helps low- and middle-income first-time and repeat buyers, including veterans, achieve their homeownership goals.

Here’s a closer look at the agency’s homeownership programs, which bundle down payment assistance with a 30-year fixed-rate loan.

1. Home Is Possible for First-Time Buyers

This 30-year fixed-rate FHA, USDA, or VA loan with competitive interest rates also offers interest-free down payment assistance of up to 4% of the total loan amount. The money can also be used for closing costs.

There are purchase price and income limits determined by county. Participants must be buying a single- or two-family home, condominium, townhome, manufactured home, or four-unit home with one unit being the buyer’s residence.

A minimum FICO® credit score of 640 is required. Homebuyer education is required, which can help buyers understand how much house they can afford.

2. Home Is Possible

This loan is available to first-time and repeat buyers who do not currently own property. This 30-year fixed-rate FHA, USDA, VA, or conventional loan offers interest-free down payment and closing cost assistance of up to 5% of the total loan amount.

Income limits apply, depending on the number of borrowers and the type of loan. The maximum purchase price of the home varies by county.

A minimum credit score of 640 is required, as is homebuyer education.

3. Nevada Home Credit Certificate Program

The Nevada mortgage credit certificate program provides first-time buyers and qualified veterans a federal income tax credit of 20% of the interest paid on the mortgage loan each year, up to the federal $2,000 maximum. Any additional interest paid can be used as a tax deduction.

There are fees associated with applying for and receiving a mortgage credit certificate, but the savings from the lifetime of the credit often outweigh the fees.

4. Home at Last Rural Nevada Down Payment Assistance

This program is offered through the Nevada Rural Housing Authority and features a no-interest, no-payment second mortgage. It’s available to first-time and repeat buyers. Income limits and credit score requirements are based on the first mortgage. There are no purchase price limits and you don’t have to be a Nevada resident to qualify for this program.

Recommended: First-Time Homebuyer Guide

How to Apply to Nevada Programs for First-Time Homebuyers

As you might expect from the home of Las Vegas, the Nevada Housing Division’s website homebuyer
section starts off with an illustrated game.

Step 1 is to see if you meet the qualifications of one or more of the programs, and Step 2 is to contact a participating lender and get pre-approved.

Easy-to-read details on each of the programs are available, as well as a list of lenders and real estate agents .

Lenders are well versed in the homebuyer programs and will guide applicants from start to closing.

Federal Programs for First-Time Homebuyers

Several federal government programs are designed for people who have low credit scores or limited cash for a down payment. Although most of these programs are available to repeat homeowners, like state programs, they can be especially helpful to people who are buying a first home or who haven’t owned a home in several years.

The mortgages are generally for single-family homes, two- to four-unit properties that will be owner occupied, approved condos, townhomes, planned unit developments, and some manufactured homes.

Federal Housing Administration (FHA) Loans

The FHA, which is part of the U.S. Department of Housing and Urban Development (HUD), insures mortgages for borrowers with lower credit scores. Homebuyers choose from a list of approved lenders that participate in the FHA loan program. Loans have competitive interest rates and require a down payment of 3.5% of the purchase price for borrowers, who typically need FICO^® credit scores of 580 or higher. Those with scores as low as 500 must put at least 10% down.

In addition to examining your credit score, lenders will look at your debt-to-income ratio (DTI, your monthly debt payments compared with your monthly gross income). FHA loans allow a DTI ratio of up to 50% in some cases, vs. a typical 45% maximum for a conventional loan.

Gift money for the down payment is allowed from certain donors and will be documented in a gift letter for the mortgage.

FHA loans always require mortgage insurance: a 1.75% upfront fee and annual premiums for the life of the loan, unless you make a down payment of at least 10%, which allows the removal of mortgage insurance after 11 years. For a $300,000 mortgage balance, upfront MIP would be around $5,250 and monthly MIP, at a rate of 0.55%, would be around $137. You can learn more about these loans, including FHA loans for refinance and rehab of properties, by reading up on FHA requirements, loan limits, and rates.

Freddie Mac Home Possible Mortgages

Very low- and low-income borrowers may make a 3% down payment on a Home Possible^® mortgage. These loans allow various sources for down payments, including co-borrowers, family gifts, employer assistance, secondary financing, and sweat equity.

The Home Possible mortgage is for buyers who have a credit score of at least 660.

Once you pay 20% of your loan, the Home Possible mortgage insurance will be canceled, which will lower your mortgage payments.

Fannie Mae HomeReady Mortgages

Fannie Mae HomeReady^® Mortgages allow down payments as low as 3% for low-income borrowers. Applicants generally need a credit score of at least 620; pricing may be better for credit scores of 680 and above. Like the Freddie Mac program, HomeReady loans allow flexibility for down payment financing, such as gifts and grants.

For income limits, a comparison to an FHA loan, and other information, go to this Fannie Mae site .

Fannie Mae Standard 97 LTV Loan

The conventional 97 LTV loan is for first-time homebuyers of any income level who have a credit score of at least 620 and meet debt-to-income criteria. The 97% loan-to-value mortgage requires 3% down. Borrowers can get down payment and closing cost assistance from third-party sources.

Department of Veterans Affairs (VA) Loans

Eligible active-duty members of the military, veterans, reservists, and surviving spouses may apply for loans backed by the Department of Veterans Affairs. VA loans, which can be used to buy, build, or improve homes, have lower interest rates than most other mortgages and don’t require a down payment. Most borrowers pay a one-time funding fee that can be rolled into the mortgage.

Another benefit of VA loans is that they do not require private mortgage insurance (PMI) for borrowers who make a down payment of less than 20%. And they have more flexible credit score requirements. In some cases, even those who have previously been in foreclosure or bankruptcy can qualify.

Borrowers applying for a VA loan will need a Certificate of Eligibility from the VA so make sure to review a guide to qualifying for a VA loan as a first step in the process.

Native American Veteran Direct Loans (NADLs)

Eligible Native American veterans and their spouses may use these no-down-payment loans to buy, improve, or build a home on federal trust land. Unlike VA loans listed above, the Department of Veterans Affairs is the mortgage lender on NADLs. The VA requires no mortgage insurance, but it does charge a funding fee.

US Department of Agriculture (USDA) Loans

No down payment is required on these loans to moderate-income borrowers that are guaranteed by the USDA in specified rural areas. Borrowers pay an upfront guarantee fee and an annual fee that serves as mortgage insurance.

The USDA also directly issues loans to low- and very low-income people. For loan basics and income and property eligibility, head to this USDA site .

HUD Good Neighbor Next Door Program

This program helps police officers, firefighters, emergency medical technicians, and teachers qualify for mortgages in the areas they serve. Borrowers can receive 50% off a home in what HUD calls a “revitalization area.” They must live in the home for at least three years. For more information, visit the HUD program page .

Nevada First-Time Homebuyer Stats for 2025

Here’s a snapshot of the typical home buying transaction in Nevada:

•  Median home sale price: $466,700

•  3% down payment: $14,001

•  20% down payment: $93,340

•  Average credit score (vs. the U.S. average of 715): 701

By Walecia Konrad

(Last Updated – 06/2025)

With Detroit’s revitalization, the resort towns on the shores of the Great Lakes, and the proximity to wilderness in the Upper Peninsula, Michigan real estate is hot. In April 2025, more than a third of homes were selling above list price, and home prices were up 4.6% overall. But there is good news for first-time homebuyers: The Wolverine State is still relatively affordable.

The median sales price is currently $268,900, according to Redfin, a company that analyzes real estate data. That’s far below the national median home sales price of $438,357.

If you’re currently shopping for a home in Michigan or hope to be doing so in the near future, learn about the programs that can make becoming a first-time homebuyer in Michigan that much more affordable.

4 Michigan Programs for First-Time Homebuyers

First-time homebuyers looking to settle in Michigan may find help through the Michigan State Housing Development Authority . Here are details about the agency’s mortgage and down payment assistance programs.

1. MI Home Loan Program

This program offers 30-year fixed-rate mortgages at below-market interest rates to first-time homebuyers and those who buy in targeted areas. The loan can be paired with the Michigan Housing down payment assistance program described below.

Household income limits apply, and depend on location and family size. Your purchase price may not exceed $544,233, and a credit score of 640 is typically required.

If you’re using the down payment assistance program, all adult household members usually need to complete a housing education course (which can help buyers understand how much house they can afford). To determine eligibility for this program and explore further, the state recommends reaching out to a participating lender .

2. Michigan $10K Down Payment Assistance Program

Michigan Home Loan borrowers may find down payment help in the form of loans for up to $10,000 throughout the state through the Michigan Down Payment Program . These second mortgages come with no interest or monthly payments. The loan must be paid back when you sell, refinance, or pay off your first mortgage.

3. Mortgage Credit Certificate

Michigan’s home mortgage credit allows first-time buyers and repeat buyers in targeted areas to claim a federal tax credit equal to 20% of their annual mortgage interest, up to $2,000 a year. Unfortunately, the Michigan Home Loan programs do not cover a mortgage credit certificate. Borrowers using conventional mortgages may be able to take the credit.

There are fees associated with applying for and receiving a mortgage credit certificate that vary by state. Often the savings from the lifetime of the credit can outweigh the fees.

Recommended: Understanding the Different Types of Mortgage Loans

4. Local Homebuyer Assistance Programs

Local housing initiatives in urban areas such as Detroit and Grand Rapids offer help with down payments, closing costs, and other assistance for first-time buyers in certain areas. It can be well worth your while to research these options online, as well as educate yourself about the ins and out of being a first-time homebuyer in general.

How to Apply to Michigan Programs for First-Time Homebuyers

A housing counselor or experienced lender can help determine which programs you might be eligible for, based on income, debt, credit score, and purchase price.

State Loan and Assistance Programs

Find and contact counseling agencies and loan officers by county if you’re interested in a Michigan housing authority mortgage and down payment assistance program.

Local Programs

Many local assistance programs are offered through lenders themselves, so it’s important to compare lending options.

HUD (the U.S. Department of Housing and Urban Development) lists local contacts that may be of help to first-time homebuyers.

MCC Program

To apply for a mortgage credit certificate, homebuyers must work through a lender approved by the Michigan State Housing Development Authority.

Federal Programs for First-Time Homebuyers

Several federal government programs are designed for people who have low credit scores or limited cash for a down payment. Although most of these programs are available to repeat homeowners, they can be especially helpful for true first-time buyers or people who haven’t owned a home in several years.

Federal Housing Administration (FHA) Loans

The FHA, which is part of HUD, insures mortgages for borrowers with lower credit scores. Homebuyers choose from a list of approved lenders that participate in the FHA loan program. Some details to note:

•   Loans have competitive interest rates and require a down payment of 3.5% of the purchase price for borrowers, who typically need FICO® credit scores of 580 or higher.

•   Those with low credit scores (between 500 and 579) must put at least 10% down.

•   In addition to examining your credit score, lenders will look at your debt-to-income ratio (DTI, your monthly debt payments compared with your monthly gross income). FHA loans allow a DTI ratio of up to 57% in some cases, vs. a typical 45% to 50% maximum for a conventional loan.

•   Gift money for the down payment is allowed from certain donors and will be documented in a gift letter for the mortgage.

•   FHA loans always require mortgage insurance: a 1.75% upfront fee and annual premiums for the life of the loan, unless you make a down payment of at least 10%, which allows the removal of mortgage insurance after 11 years.

You can learn more about these loans, including FHA loans for refinance and rehab of properties, by reading up on FHA requirements, loan limits, and rates.

Freddie Mac Home Possible Mortgages

Very low- and low-income borrowers may make a 3% down payment on a Home Possible® mortgage. These loans allow various sources for down payments, including co-borrowers, family gifts, employer assistance, secondary financing, and sweat equity.

•   The Home Possible mortgage is for buyers who have a credit score of at least 660.

•   Once you pay 20% of your loan, the Home Possible mortgage insurance will be canceled, which will lower your mortgage payments.

Fannie Mae HomeReady Mortgages

Fannie Mae HomeReady® Mortgages allow down payments as low as 3% for low-income borrowers. Applicants generally need a credit score of at least 620; the cost may be better for credit scores of 680 and above. Like the Freddie Mac program, HomeReady loans allow flexibility for down payment financing, such as gifts and grants.

For income limits, a comparison to an FHA loan, and other information, go to this Fannie Mae site .

Fannie Mae Standard 97 LTV Loan

The conventional 97 LTV loan is for first-time homebuyers of any income level who have a credit score of at least 620 and meet debt-to-income criteria. The 97% loan-to-value mortgage requires 3% down. Borrowers can get down payment and closing cost assistance from third-party sources.

This 97 LTV Loan is only available for one-unit single-family homes, co-ops, condos, and planned unit developments which will be used as a primary residence.

Department of Veterans Affairs (VA) Loans

Loans backed by the Department of Veterans Affairs can be offered to qualifying active-duty members of the military, veterans, reservists, and surviving spouses. These VA loans, which can be used to buy, build, or improve homes, typically have lower interest rates than most other mortgages available. What’s more, they usually don’t require a down payment. Most borrowers pay a one-time funding fee that can be rolled into the mortgage.

Another nice benefit of these loans is that they do not require private mortgage insurance (PMI) for borrowers who make a down payment of less than 20%. And VA loans have more flexible credit score requirements. In some cases, even those who have previously been in foreclosure or bankruptcy can qualify.

If you apply for a VA loan, you will need a Certificate of Eligibility from the VA so make sure to review a guide to qualifying for a VA loan as a first step in the process.

Native American Veteran Direct Loans (NADLs)

If you are a Native American veteran or their spouse, you may be able to use these no-down-payment loans to buy, improve, or build a home on property that’s federal trust land. Unlike the VA loans listed above, the Department of Veterans Affairs is the mortgage lender on NADLs. The VA requires no mortgage insurance, but it does charge a funding fee. You can learn more about this mortgage option by emailing [email protected].

US Department of Agriculture (USDA) Loans

You don’t have to pay any down payment on these loans, which are made to moderate-income borrowers that are guaranteed by the USDA in specified rural areas. Borrowers pay an upfront guarantee fee and an annual fee that serves as mortgage insurance.

In addition, the USDA directly issues loans to low- and very low-income people. For loan basics and income and property eligibility, head to this USDA site .

HUD Good Neighbor Next Door Program

HUD’s Good Neighbor Next Door Program can help firefighters, emergency medical technicians, police officers, and teachers qualify for mortgages in the areas they serve. Borrowers can receive 50% off a home in what HUD deems a “revitalization area,” but they must live in the home for at least three years.

💡 Quick Tip: Generally, the lower your debt-to-income ratio, the better loan terms you’ll be offered. One way to improve your ratio is to increase your income (hello, side hustle!). Another way is to consolidate your debt and lower your monthly debt payments.

Michigan First-Time Homebuyer Stats for 2025

As you think about becoming a property owner in Michigan, take a look at these figures about home buying.

•  First-time homebuyers in the U.S.: 24% of all homebuyers

•  Median age of first-time homebuyers in U.S.: 38

•  Median home price in Michigan: $268,900

•  Average down payment in Michigan: $22,500

•  Average credit score in Michigan: 719

Who Is Considered a First-Time Homebuyer in New York?

A first-time homebuyer is someone who has either never owned a home or hasn’t owned one in the past three years. Most first-time homebuyers will be looking for a home mortgage loan to finance their purchase.

There are some additional groups that qualify as first-time homebuyers according to the U.S. Department of Housing and Urban Development (HUD). These include:

•  A single parent who has only owned a home with a partner while married

•  A displaced homemaker who has only owned a home with a spouse

•  Someone who has owned a principal residence not permanently affixed to a permanent foundation

•  Someone who has only owned a property that wasn’t in compliance with state, local, or model building codes

Veterans may qualify for some of the same programs first-time buyers do.

Recommended: Understanding the Different Types of Mortgage Loans

5 New York Programs for First-Time Homebuyers

These are the programs that can provide low-interest mortgages and closing cost assistance for qualified first-time buyers in New York.

1. HomeFirst Down Payment Assistance Program

This program provides a forgivable loan of up to $100,000 toward the down payment or closing costs on a one- to four-family home, condo, or coop in New York City.

To qualify, you must be a first-time homebuyer in New York, meet income eligibility requirements, and complete a homebuyer education program. You must make a down payment of at least 3% of the purchase price, sourced from their own funds.

Contact a counseling agency for more information.

2. SONYMA: Achieving the Dream

The State of New York Mortgage Agency offers a 30-year fixed rate mortgage for one- to four-family homes, cooperatives and condominiums. You can put just 3% down (with down payment assistance available), with a minimum cash contribution of 1% (3% for co-ops).

To qualify, you must be a first-time homebuyer with good credit and stable employment. There are income limits you must meet, and you will need to attend a homebuyer education course.

3. SONYMA: Low-Interest Rate Loans

This program offers low-interest loans and low down payment requirements for the purchase of family homes, condominiums, cooperatives, and manufactured homes.

You must be a first-time homebuyer with good credit and stable employment to be eligible. Veterans and those purchasing homes in target areas are also eligible. There are also income limits you must meet, and a homebuyer education course you will need to take.

4. SONYMA: Conventional Plus

Conventional Plus combines a 30-year fixed rate mortgage with down payment assistance for the purchase of a primary home. The down payment assistance can also be used for closing costs. To qualify, you must meet income limits.

5. SONYMA: FHA Plus

Another program to check out is FHA Plus, which also combines 30-year fixed rate mortgage loans with down payment assistance for the purchase of a primary home. This program is open to first-time buyers and repeat buyers who are purchasing a primary home. You need to meet income limits to be eligible. (Trying to decide what type of mortgage is best for your needs? Reading a guide to mortgage terms can be helpful.)

How to Apply to New York Programs for First-Time Homebuyers

Each of the programs we’ve covered has its own criteria for qualification, including income and purchase price limits. Carefully review all programs and requirements to help determine your best option. Then, get pre-qualified with a participating lender.

Federal Programs for First-Time Homebuyers

Several federal government programs are designed for people who have low credit scores or limited cash for a down payment. Although most of these programs are available to repeat homeowners, like state programs, they can be especially helpful to people who are buying a first home or who haven’t owned a home in several years.

The mortgages are generally for single-family homes, two- to four-unit properties that will be owner occupied, approved condos, townhomes, planned unit developments, and some manufactured homes.

Federal Housing Administration (FHA) Loans

The FHA, which is part of HUD, insures mortgages for borrowers with lower credit scores. Homebuyers choose from a list of approved lenders that participate in the FHA loan program. Loans have competitive interest rates and require a down payment of 3.5% of the purchase price for borrowers, who typically need FICO^® credit scores of 580 or higher. Those with scores as low as 500 must put at least 10% down.

In addition to examining your credit score, lenders will look at your debt-to-income ratio (DTI, your monthly debt payments divided by your monthly gross income). FHA loans allow a DTI ratio of up to 50% in some cases, vs. a typical 45% maximum for a conventional loan.

Gift money for the down payment is allowed from certain donors and will be documented in a gift letter for the mortgage.

FHA loans always require mortgage insurance: a 1.75% upfront fee and annual premiums for the life of the loan, unless you make a down payment of at least 10%, which allows the removal of mortgage insurance after 11 years. For a $300,000 mortgage balance, upfront MIP would be around $5,250 and monthly MIP, at a rate of 0.55%, would be around $137. You can learn more about these loans, including FHA loans for refinance and rehab of properties, by reading up on FHA requirements, loan limits, and rates.

Freddie Mac Home Possible Mortgages

Very low- and low-income borrowers may make a 3% down payment on a Home Possible^® mortgage. These loans allow various sources for down payments, including co-borrowers, family gifts, employer assistance, secondary financing, and sweat equity.

The Home Possible mortgage is for buyers who have a credit score of at least 660.

Once you pay 20% off your loan, the Home Possible mortgage insurance will be canceled, which will lower your mortgage payments.

Fannie Mae HomeReady Mortgages

Fannie Mae HomeReady^® Mortgages allow down payments as low as 3% for low-income borrowers. Applicants generally need a credit score of at least 620; pricing may be better for credit scores of 680 and above. Like the Freddie Mac program, HomeReady loans allow flexibility for down payment financing, such as gifts and grants.

For income limits, a comparison to an FHA loan, and other information, go to this Fannie Mae site .

Fannie Mae Standard 97 LTV Loan

The conventional 97 LTV loan is for first-time homebuyers of any income level who have a credit score of at least 620 and meet debt-to-income criteria. The 97% loan-to-value mortgage requires 3% down. Borrowers can get down payment and closing cost assistance from third-party sources.

Unlike an FHA loan, the 97 LTV loan has no upfront mortgage insurance fee and does have cancellable mortgage insurance. The loan is for just one-unit single-family homes, co-ops, condos, and planned unit developments.

Department of Veterans Affairs (VA) Loans

Active-duty members of the military, veterans, and eligible family members may apply for loans backed by the Department of Veterans Affairs. VA loans, which can be used to buy, build, or improve homes, have lower interest rates than most other mortgages and don’t require a down payment. Most borrowers pay a one-time funding fee that can be rolled into the mortgage.

Another benefit of VA loans is that they do not require private mortgage insurance (PMI) for borrowers who make a down payment of less than 20%. And they have more flexible credit score requirements. In some cases, even those who have previously been in foreclosure or bankruptcy can qualify.

Borrowers applying for a VA loan will need a Certificate of Eligibility from the VA so make sure to review a guide to qualifying for a VA loan as a first step in the process.

Native American Veteran Direct Loans (NADLs)

Eligible Native American veterans and their spouses may use these no-down-payment loans to buy, improve, or build a home on federal trust land. Unlike VA loans listed above, the Department of Veterans Affairs is the mortgage lender on NADLs. The VA requires no mortgage insurance, but it does charge a funding fee. For more information visit the NADL site .

US Department of Agriculture (USDA) Loans

No down payment is required on these loans to moderate-income borrowers that are guaranteed by the USDA in specified rural areas. Borrowers pay an upfront guarantee fee and an annual fee that serves as mortgage insurance.

The USDA also directly issues loans to low- and very low-income people. For loan basics and income and property eligibility, head to this USDA site .

HUD Good Neighbor Next Door Program

This program helps police officers, firefighters, emergency medical technicians, and teachers qualify for mortgages in the areas they serve. Borrowers can receive 50% off a home in what HUD calls a “revitalization area.” They must live in the home for at least three years. Find out more from the New York regional HUD offices .

First-Time Homebuyer Stats for 2025

Here’s some data about New York home sales.

•  Median home price in New York: $566,600

•  3% down payment in New York: $16,998

•  20% down payment: $113,320

•  Average credit score in New York State: 721

Financing Tips for First-Time Homebuyers

In addition to federal and state government-sponsored lending programs, there are other financial strategies that may help you become a homeowner. After reading up on how to choose a mortgage term, check out these tips on how to lower your mortgage payment:

•  Traditional IRA withdrawals. The IRS allows qualifying first-time homebuyers a one-time, penalty-free withdrawal of up to $10,000 from their IRA if the money is used to buy, build, or rebuild a home. When it comes to IRA withdrawals, the IRS considers anyone who has not owned a primary residence in the past two years a first-time homebuyer. You will still owe income tax on the IRA withdrawal. If you’re married and your spouse has an IRA, they may also make a penalty-free withdrawal of $10,000 to purchase a home. The downside, of course, is that large withdrawals may jeopardize your retirement savings.

•  Roth IRA withdrawals. Because Roth IRA contributions are made with after-tax money, the IRS allows tax- and penalty-free withdrawals of contributions for any reason as long as you’ve held the account for five years. You may also withdraw up to $10,000 in earnings from your Roth IRA without paying taxes or penalties if you are a qualifying first-time homebuyer and you have had the account for five years. With accounts held for less than five years, homebuyers will pay income tax on earnings withdrawn.

•  401(k) loans. If your employer allows borrowing from the 401(k) plan that it sponsors, you may consider taking a loan against the 401(k) account to help finance your home purchase. With most plans, you can borrow up to 50% of your 401(k) balance, up to $50,000, in a 12-month period without incurring taxes or penalties. You pay interest on the loan, which is paid into your 401(k) account. You usually have to pay back the loan within five years, but if you’re using the money to buy a house, you may have more time to repay.

•  State and local down payment assistance programs. Usually offered at the regional or county level, these programs provide flexible second mortgages for first-time buyers looking into how to afford a down payment.

•  The mortgage credit certificate program. First-time homeowners and those who buy in targeted areas can claim a portion of their mortgage interest as a tax credit, up to $2,000. Any additional interest paid can still be used as an itemized deduction. To qualify for the credit, you must be a first-time homebuyer, live in the home, and meet income and purchase price requirements, which vary by state. If you refinance, the credit disappears, and if you sell the house before nine years, you may have to pay some of the tax credit back. There are fees associated with applying for and receiving the mortgage credit certificate that vary by state. Often the savings from the lifetime of the credit can outweigh these fees.

•  Your employer. Your employer may offer access to lower-cost lenders and real estate agents in your area, as well as home buying education courses.

•  Your lender. Always ask your lender about any first-time homebuyer grant or down payment assistance programs available from government, nonprofit, and community organizations in your area.

It will also help to use a home affordability calculator to see how much you can afford to pay for a home before you get serious about shopping.

The Takeaway

Eligible first-time homebuyers in New York can find mortgage and down payment assistance programs to help them pay for a home. There are also federal-backed and conventional loans that may be a good fit for some buyers.