Expert Guidance for First-Time Home Buyers
“I wasn't sure what to expect when purchasing our first home but Daniel at Montezuma Mortgage was so helpful, knowledgeable, and approachable throughout the whole process.”
First Time Home Buyer Loans refer to a wide variety of mortgage products, from a wide variety of sources. We’ll help you understand how it all works and how to pick the best option. We evaluate programs from lenders, non-profits and government organizations to figure out which programs are available to you and we’ll help you qualify for them.
What are first time home buyer loans?
Lower Down Payments: Programs require smaller down payments, and some require no down payment at all, making homeownership more accessible.
Reduced Interest Rates: Enjoy lower interest rates compared to standard loans, saving money over time.
Flexible Qualification Requirements: Easier credit score and income requirements help more buyers qualify.
Financial Assistance: Down payment assistance loans, grants, tax credits, and other subsidies can further reduce the cost of buying a home.
Educational Requirements: Programs often include mandatory education for buyers on the home buying process.
Requirements for First Time Home Buyer Loans
First-Time Buyer Status: First time home buyers are generally defined as someone who has not owned a home in the past three years. **Not all programs that might be suitable for First-Time Home Buyers require first time buyer status.
Income Limits: Many programs have income limits based on your household size and location. We’ll help you determine if your income falls within the specified range for various options.
Credit Score: While requirements vary, most programs look for a minimum credit score, often around 620-640. Higher scores may improve your eligibility for better terms, or down payment assistance. USDA loans and some other programs are more flexible with credit scores.
Primary Residence: The property must be intended as your primary residence, not a vacation house or rental property.
Standard Risk Analysis: Lenders will evaluate your employment history, debt-to-income ratio, credit history, and other factors. While some criteria are more flexible, first time home buyer loans are underwritten in the same manner as other mortgages.
Get Pre-Approved before you shop for a home. Here’s why.
Expert Guidance: With an expert guiding you through the process everything will happen faster. There’s a lot to learn about home ownership and we can help you focus on the most important things.
Know Your Budget: Pre-approval gives you a clear understanding of how much you can afford, allowing you to focus on homes within your price range and understand what each one costs.
Acceptable Offers: Pre-approval shows you are financially prepared and ready to make a purchase. Most sellers won’t entertain offers from buyers that aren’t pre-approved.
Faster Closing: With pre-approval, much of the paperwork is already completed, speeding up the loan approval process and helping you close on your new home more quickly.
“Daniel Hennek and Montezuma Mortgage are awesome! Daniel was a huge help in navigating the mortgage process when purchasing our first home and made it very easy.”
Resources for Buying Your First Home
Embarking on your first home purchase journey can be overwhelming, but our resources are here to help. From our comprehensive home purchase guide to calculators for qualification, rent vs buy decisions, and links to first-time home buyer programs and education, you'll find everything you need to navigate the process confidently. Explore these tools and take the first step towards homeownership with confidence.
If you’re a first-time home buyer with a question, we’re here to answer it for you. Book an appointment, call, or text us so we can help you.