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First-Time Homebuyer Programs 2026: Complete Guide to Down Payment Assistance & Loans

January 4, 2026
13 min read
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Discover every first-time homebuyer program available in 2026, including FHA loans, down payment assistance grants, tax credits, and state-specific programs that can help you buy your first home with little or no down payment.

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What Are First-Time Homebuyer Programs?

First-time homebuyer programs are federal, state, and local initiatives designed to make homeownership more accessible. These programs offer benefits like low down payments, reduced interest rates, closing cost assistance, and tax credits. In 2026, over 150+ programs exist across the United States.

Who Qualifies as a First-Time Buyer?

You're considered a first-time homebuyer if you meet ANY of these criteria:

  • ✓ Haven't owned a home in the past 3 years
  • ✓ Single parent who only owned with former spouse
  • ✓ Displaced homemaker who only owned with spouse
  • ✓ Never owned a primary residence (even if you owned investment property)

Top First-Time Homebuyer Programs 2026

FHA Loans

Federal Housing Administration loans require only 3.5% down payment and accept credit scores as low as 580.

Down Payment: 3.5% minimum

Credit Score: 580+ (500-579 with 10% down)

Max Loan: $472,030 - $1,089,300 (varies by county)

VA Loans (Veterans)

Zero down payment loans for military veterans, active duty service members, and eligible spouses.

Down Payment: $0 (0%)

Credit Score: No minimum (typically 620+)

PMI: Not required

USDA Loans (Rural)

Zero down payment mortgages for homes in eligible rural and suburban areas (97% of U.S. land area).

Down Payment: $0 (0%)

Credit Score: 640+ recommended

Income Limit: Must not exceed 115% of area median

Conventional 97 Loans

Fannie Mae & Freddie Mac programs requiring only 3% down payment for qualified first-time buyers.

Down Payment: 3% minimum

Credit Score: 620+ required

PMI: Required until 20% equity

Pro Tip: Down Payment Assistance (DPA) Programs

Over 2,000+ state and local DPA programs exist that can provide $5,000-$30,000 in grants or forgivable loans for your down payment and closing costs. Many can be combined with FHA/VA/USDA loans. Check your state housing finance agency website to find programs in your area.

State-Specific First-Time Homebuyer Programs

Every state offers unique programs. Here are examples from major states:

California CalHFA Programs

MyHome Assistance Program provides 3.5% down payment assistance as a deferred loan (0% interest, no monthly payments).

• Income limits: $184,000-$226,500 depending on county • Purchase limits: $625,000-$970,800

Texas My First Texas Home

Offers down payment assistance up to 5% of the loan amount and competitive interest rates.

• Income limits: $105,120-$115,580 • Purchase limits: $408,795-$456,275

Florida HFA Advantage

Combines a first mortgage with a second mortgage (0% interest) that covers up to 3.5% for down payment/closing costs.

• Income limits: $106,820-$133,960 • Purchase limits: $420,680-$647,200

New York SONYMA

Provides up to $15,000 in down payment assistance and competitive interest rates below market rates.

• Income limits: $129,250-$171,000 • Purchase limits: $524,225-$1,036,000

Frequently Asked Questions

How much do I need for a down payment as a first-time buyer?

What credit score do I need to buy a house?

Can I buy a house with student loan debt?

What's the First-Time Homebuyer Tax Credit?

Ready to Become a Homeowner?

Start your journey to homeownership today. Get matched with programs you qualify for and begin your application.