Explore the best first-time homebuyer mortgage programs in 2025—get 100% financing, no down payment loans, and expert help from LendingQuarters.

First-Time Homebuyer Mortgage Programs You Need to Know in 2025

Buying your first home in 2025? You’re not alone—and the good news is, there are more mortgage programs available now than ever before to help first-time homebuyers achieve their dream of homeownership.

Whether you're looking for no money down mortgage options, low-interest loans, or help with closing costs, this guide breaks down the best first-time homebuyer mortgage programs of 2025—including 100% financing options.

Let’s dive in.

1. USDA Loans – 100% Financing in Eligible Areas

If you're buying in a rural or suburban area, a USDA loan could be your best option. Backed by the U.S. Department of Agriculture, USDA loans are designed for low-to-moderate-income borrowers and require no down payment.

Top Benefits:

• 100% financing (no down payment)

• Reduced mortgage insurance

• Competitive fixed interest rates

Ideal for: First-time buyers in eligible rural or semi-rural locations.

2. VA Loans – 100% Financing for Veterans and Active Duty

If you’re a veteran, active-duty service member, or an eligible surviving spouse, a VA loan is one of the strongest home loan options out there.

Top Benefits:

• 100% financing with no down payment

• No private mortgage insurance (PMI)

• Flexible credit requirements

• Low closing costs

Pro tip: Many first-time military buyers are surprised to find how much they can save with a VA loan.

3. FHA Loans – Low Down Payment with Flexible Credit

FHA loans are popular with first-time buyers due to their low credit score requirements and down payment as low as 3.5%. While they’re not 100% financing, many buyers combine them with down payment assistance programs (DPA) to cover that gap.

Top Benefits:

• Credit scores as low as 580 accepted

• Low 3.5% down payment

• Available nationwide

• Can be paired with state/local DPA programs

4. Conventional 97 Loan – Just 3% Down

Offered by Fannie Mae and Freddie Mac, the Conventional 97 loan is a great option for first-time buyers with solid credit.

Top Benefits:

• Only 3% down required

• Can cancel PMI once equity reaches 20%

• More flexible than traditional conventional loans

You may also qualify for HomeReady or Home Possible programs, which offer discounted mortgage insurance for low-to-moderate-income buyers.

5. State & Local First-Time Homebuyer Programs

Many states and cities offer their own first-time homebuyer assistance programs in 2025, which can include:

• Down payment assistance (DPA) grants

• Forgivable second loans

• Reduced interest rate programs

• Tax credits

💬 Want 100% Financing? Talk to LendingQuarters Today

Navigating mortgage programs as a first-time buyer can feel overwhelming—but you don’t have to do it alone. Whether you’re looking for 100% financing home loans through USDA or VA, or low down payment options with FHA or Conventional 97, LendingQuarters is here to help.

As an experienced mortgage broker, LendingQuarters works with a network of top lenders to match you with the best mortgage programs for first-time homebuyers in 2025.

✅ Free pre-approval
✅ Personalized guidance
✅ Access to 100% financing options
✅ Help with state and local assistance programs

📞 Ready to take the first step? Contact LendingQuarters today to explore your options and get pre-approved.

🔑 Final Thoughts

2025 is a strong year for first-time homebuyers—especially with access to affordable mortgage programs, low down payment options, and even no money down mortgages. The key is finding the right fit for your financial goals and homeownership dreams.

Don't leave money on the table. Talk to a trusted mortgage expert like LendingQuarters to see which first-time buyer mortgage program is right for you.