Massachusetts First Time Home Buyer

The FHA loan is the most approved government-backed home loan. These low down payment loans are made by qualified lenders and guaranteed by the Federal Housing Administration (FHA). FHA loans require down payment for borrowers with a 580 credit score or higher. For homebuyers with less-than-perfect credit, FHA loans offer significant additional benefits. The government backing means average FHA interest rates are typically lower than average rates for conventional mortgages. Borrowers with credit scores as low as 500 can qualify for an FHA loan with a 10% down payment. Guidelines and policies will vary by lender.