Conventional 3% down
Many first-time buyers qualify for a conventional loan with as little as 3% down. Mortgage insurance can drop off once you reach 20% equity.
Program details (opens in new tab) →Home / First-Time Buyers
First-time homebuyersFirst-time homebuyer loans and down payment help
You do not need 20% down to buy your first home. Many first-time buyers use 0–3.5% down with conventional, FHA, VA, or USDA financing—and may stack local down payment assistance. UMortgage+ powered by NEXA Lending, LLC walks you through affordability, programs, and the documents you need before you shop.
NMLS #1660690
Start here
First-time buyer path in 5 steps
Check your budget
Estimate payment with taxes and insurance—not just principal and interest.
Get pre-approved
A real credit check and income review beats a soft online teaser.
Explore assistance
See local DPA and first-time programs that can reduce cash to close.
Compare loan types
Conventional, FHA, VA, and USDA each fit different credit and down-payment pictures.
Shop with a letter
Make offers knowing your max price, cash to close, and timeline.
Loan options
Programs first-time buyers use most
Conventional
As little as 3% down on many first-time programs. PMI can be canceled later.
Conventional →FHA
3.5% down and flexible credit—popular when savings or scores are still building.
FHA →VA
Often $0 down for eligible veterans and service members—no monthly PMI.
VA →USDA
$0 down in eligible areas when household income fits USDA limits.
USDA →
Local help
Down payment help
Down payment help
Down payment help
Down payment assistance
Down payment assistance and first-time buyer programs vary by state; a loan officer licensed in your state can confirm what's available to you. Nationwide options many first-time buyers start with:
FHA loans — 3.5% down
FHA loans allow 3.5% down with flexible credit guidelines, and the down payment can come from gift funds or eligible assistance.
Program details (opens in new tab) →VA & USDA — $0 down for those who qualify
VA loans serve eligible veterans, service members, and surviving spouses; USDA loans serve eligible rural and suburban buyers. Both can mean no down payment.
Program details (opens in new tab) →Local and state programs may offer different or additional help where you live — ask a loan officer licensed in your state what you qualify for.
Program terms and funding change. Updated .
Cash to close
What first-time buyers usually need
| Down payment | Often 0–3.5% depending on program (VA/USDA 0%, conventional ~3%, FHA 3.5%). |
|---|---|
| Closing costs | Often about 2–5% of the loan amount before credits or assistance. |
| Local costs | |
| Loan limits |
$300,000 home—illustrative cash
3% down = $9,000. 3.5% down = $10,500. Add closing costs (or offset with seller credits / DPA). Not a quote.
Straight answers
First-time buyer FAQs
How much house can I afford on my salary?
Lenders look at debt-to-income, credit, and reserves. As a rough consumer guide, total housing often lands near 28–36% of gross income, though automated underwriting may allow more. A $70,000 salary with light debts might support roughly a $2,000–$2,400 total payment before you know taxes and insurance. Pre-approval beats any rule of thumb.
How much down payment do I need for a $300,000 house?
About $9,000 at 3% conventional, $10,500 at 3.5% FHA, or $0 with qualifying VA/USDA. Closing costs are extra unless covered by credits or assistance.
Is $10,000 enough to buy a house?
Often yes for lower-priced homes at 3–3.5% down (roughly the mid-$280ks to low-$330ks before closing costs). Seller credits and state assistance can stretch it further.
What are the benefits of being a first-time buyer?
Access to 3% down conventional products, education courses that unlock some DPA, and many state/local assistance programs that prefer or require first-time status (definitions vary—sometimes “no ownership in the last 3 years”).
Do you pay back an FHA loan?
Yes. FHA is a regular mortgage you repay monthly. FHA insures the lender. Some paired assistance is a grant or forgivable second loan that may not need repayment.
What questions should I ask my lender?
Ask about estimated cash to close and PITI payment, which programs fit your credit and down payment, local DPA, which fees are lender vs. third-party, underwriting timeline, rate-lock rules, and what could delay closing.
What is the 3-3-3 rule?
A budgeting tip: keep ~3 months of expenses after closing, aim for housing near ~30% of take-home pay, and avoid buying if you may move within 3 years. It is not a lender underwriting rule.
Educational answers only—not a loan offer or commitment to lend.
Ready to see what you qualify for?
Pre-approval takes about 15 minutes. Or book a call with a loan officer at (480) 233-7897.