What First-Time Homebuyer Programs Are Available in Massachusetts?

Massachusetts has more first-time buyer help than most states. The main options are MassHousing mortgages and down payment assistance, the ONE Mortgage program, local down payment assistance from many cities and towns, and federal loans like FHA and VA. Income limits, price limits and terms change, so the right first step is a conversation with a lender who uses these programs regularly. Here's the map.

MassHousing

MassHousing, the state's housing finance agency, offers mortgages through participating lenders, often with low down payments, plus down payment assistance for eligible buyers and mortgage insurance options. It's worth asking about if you're a first-time buyer with moderate income.

ONE Mortgage (Massachusetts Housing Partnership)

ONE Mortgage is designed for first-time buyers with low to moderate income: a low down payment, no private mortgage insurance, and in some cases a subsidy that lowers the payment in the early years. It requires homebuyer education and has income and price limits.

Local down payment assistance

Many communities, including several on the North Shore and in Greater Boston, run their own assistance programs, sometimes funded by federal grants. Check your city or town's community development office, and ask your lender which local programs they've worked with.

FHA, VA and other loans

• FHA: low down payment and flexible credit; can be used for owner-occupied two- to four-family homes.
• VA: for eligible veterans and service members, often with no down payment. I'm VA loan certified and happy to walk through it.
• Conventional low-down-payment loans are also available for many first-time buyers.

How do you figure out what you qualify for?

1. Talk to a lender who uses these programs (not every lender does).
2. Take a homebuyer education class early. Many programs require one.
3. Know your limits: income, purchase price, property type and occupancy rules vary.
4. Build the timeline in. Some programs add steps that affect your offer and closing dates.

Questions people actually ask.

Who counts as a first-time buyer?

Many programs define it as someone who hasn't owned a home in the past three years, so previous owners may still qualify.

Can I use these programs for a two-family?

Some programs allow owner-occupied two- and three-family homes. Ask your lender which ones.

Will using a program make my offer weaker?

A well-prepared buyer with a responsive lender can compete. Your agent should explain your financing to the listing agent clearly.

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This article is general information about Massachusetts real estate, not legal, tax, or financial advice. Every property and transaction is different. For advice on your situation, talk with me and, where appropriate, an attorney, lender, or tax professional.