Best Mortgage Lenders for First-Time Home Buyers in 2025
Last updated on December 10, 2025
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Written by
Lead Writer/SpokespersonEdited by
Editor & Content StrategistFact Checked
Fact Checked
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If you're buying your first home, low down payment loan options, first-time home buyer programs and top-notch customer care can make getting a mortgage easier. To help you find the right lender, NerdWallet has researched and selected the best mortgage lenders for first-time home buyers.
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Why trust NerdWallet
- 50+ mortgage lenders reviewed and rated by our team of experts.
- 40+ years of combined experience covering mortgages and financial topics.
- Objective, comprehensive star rating system assessing 120+ categories and 5,000+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Why trust NerdWallet
Why trust NerdWallet
- 50+ mortgage lenders reviewed and rated by our team of experts.
- 40+ years of combined experience covering mortgages and financial topics.
- Objective, comprehensive star rating system assessing 120+ categories and 5,000+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Our 2025 Best-Of Award Winner
Best Mortgage Lender First-Time Home Buyers
Rocket Mortgage, LLC
NMLS#3030
WHY OUR NERDS LOVE IT
Best Mortgage Lenders for First-Time Home Buyers in 2025
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Lender | NerdWallet Rating | Min. credit score | Min. down payment | Learn more |
|---|---|---|---|---|
620 | 3% | |||
640 | 3% | |||
580 | N/A | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
620 | 3% | |||
N/A | 3% | |||
N/A | N/A | |||
620 | 3% |
Andrews Federal Credit Union: Best for rate transparency
Min. credit score
620
Min. down payment
3%
- Why we like itAndrews Federal Credit Union is on the smaller side, but offers big value through low rates and fast closings. Its online rate quote tool is exceptionally informative. Renovation loans aren’t available, and the lender tells us VA and FHA loans aren’t a priority.Pros
- Offers free, one-time “float down” if mortgage rates drop while your loan is in progress.
- Average time to close is 28 days, faster than the national average.
- Online rate tool is exceptionally user-friendly and detailed.
ConsRead full review- No renovation loans.
- VA and FHA loans aren’t a priority.
- U.S. branches limited to Maryland, Virginia, Washington, D.C. and New Jersey.
Alliant: Best for low down payments
Min. credit score
640
Min. down payment
3%
- Why we like itAlliant Credit Union allows you to see a wide range of customized mortgage rates without sharing any personal information, though customer service is geared toward credit union members.Pros
- Mortgage borrowers do not need to become members of the credit union until reaching the closing process, so interested home buyers can apply without committing to membership.
- Sample rates are displayed upfront, and it's easy to get detailed, personalized rates without providing any personally identifying information.
- No application fee.
ConsRead full review- You can't apply for preapproval online.
- Website has minimal information about home loan offerings.
- Customer service is tough to navigate as a non-member.
New American Funding: Best for variety of loan type
Min. credit score
580
Min. down payment
N/A
- Why we like itNew American Funding offers a large menu of loan products, as well as programs like first-time home buyer assistance, but personalized mortgage rates aren't available on its website.Pros
- Offers a wide variety of purchase and refinance mortgages, as well as unique buyer assistance programs.
- Its home equity line of credit can be used for a primary residence or second home.
ConsRead full review- Average origination fees are on the high side, according to the latest federal data.
- Personalized mortgage rates are not available on the website without providing contact information.
First Federal Bank: Best for VA loans
Min. credit score
620
Min. down payment
3%
- Why we like itFirst Federal Bank stands out for its exceptionally low interest rates and its emphasis on government loans. Most likely to appeal to borrowers shopping for low rates and fees.Pros
- Strong experience in FHA and VA lending.
- Average mortgage rates are on the low side, according to the latest federal data.
- Minimum credit score requirement of 580 for some loans, which is lower than some competitors.
ConsRead full review- No mobile app.
- Home equity lending is not a priority.
- Does not offer renovation loans, but does offer construction loans.
Northpointe: Best for variety of loan types
Min. credit score
620
Min. down payment
3%
- Why we like itIn addition to conventional and government-backed loans, Northpointe Bank’s mortgage portfolio includes rarer offerings like doctor loans, condo loans, investment property loans and loans for borrowers with credit challenges. However, average origination fees tend to be comparatively high.Pros
- Closing may be available within 15 business days.
- Offers loans and programs aimed at making homeownership more accessible.
- Offers mortgages for investment properties, including jumbo loans.
ConsRead full review- Average mortgage origination fees are on the high side, according to the latest data.
- Bank’s mobile app isn’t useful for mortgage borrowers.
Truist: Best for low down payments
Min. credit score
620
Min. down payment
3%
- Why we like itIf you prefer people to tech, Truist might be a good fit for you. Preapproval and customer care happen mostly offline, and for details on less-common loan types or custom rates you'll need to talk to a person. Despite the human touch, customer satisfaction ratings are notably low.Pros
- Offers a wide range of mortgage options focused on affordability.
- Convenient online application.
- Generous grants for qualifying home buyers in select locations.
ConsRead full review- Getting custom rates and applying for mortgage preapproval both require human contact.
- Customer care leans heavily on phone and in-person service.
- HELOCs are not available in most states, though home loans are available everywhere in the U.S. except Alaska, Arizona and Hawaii.
CrossCountry Mortgage: Best for fast closing
Min. credit score
620
Min. down payment
3%
- Why we like itCrossCountry Mortgage stands out for its wide range of loan types, including FHA loans and less common options. Down payment assistance is available. However, the lender earns relatively low marks for customer satisfaction during origination.Pros
- Reported average time to close is 21 days, far shorter than the national average.
- Borrowers with credit scores as low as 500 may qualify for a mortgage.
- Down payment grants up to $5,250 is available for qualified first-time home buyers.
ConsRead full review- Rates aren’t posted online.
- Borrowers can’t apply online without talking to a loan officer first.
- Mobile app is not geared toward borrowers.
SoFi: Best for SoFi customers
Min. credit score
620
Min. down payment
3%
- Why we like itSoFi offers perks for existing customers, including a discount on closing costs and accessible customer support. The site primarily highlights conventional home loan offerings, so borrowers looking for other loan types may need to reach out directly for more details.Pros
- Interest rates are on the lower side, according to the latest federal data.
- Conventional loan borrowers can choose between a 10-, 15-, 20- or 30-year term.
- HELOC borrowers may access up to 90% of their home equity.
ConsRead full review- Sample mortgage interest rates are shown for conventional purchase and refinance loans, but not for other loan types.
- For customized mortgage rates, you have to provide your contact information.
- - Online details on some loan products are scant.
PNC Bank: Best for home loans overall
Min. credit score
620
Min. down payment
3%
- Why we like itPNC Bank has solid options for budgets large and small. Though average interest rates are on the high side, its wide selection of loans (even for lower credit scores) could be a good pick for first-time home buyers seeking a streamlined digital experience.Pros
- Solid variety of mortgage types, both standard and harder-to-find.
- Online rate quotes are informative and easy to customize.
- Offers down payment grants and no-PMI loans for low-income borrowers.
ConsRead full review- Some of the highest average interest rates of all lenders we review.
- HELOC and construction/lot loans not available in all states.
- In-person service not available in all states.
Wells Fargo: Best for Wells Fargo banking customers
Min. credit score
620
Min. down payment
3%
- Why we like itWells Fargo has significantly shrunk its mortgage business in the past two years, dropping from the third largest mortgage originator in 2023 to the twelfth largest in 2024. It was still the fourth largest jumbo loan originator in the country last year.Pros
- Borrowers can see customized mortgage rate estimates for conventional and VA loans.
- Offers relatively low interest rates, according to the latest federal data.
- Discounts may be available for existing Wells Fargo customers.
- Rate-and-term refinance interest rates offered are lower than average, according to the latest federal data.
ConsRead full review- Does not offer home equity loans or HELOCs.
- Borrowers need at least $250,000 in assets with the bank to qualify for a rate discount.
- Prospective borrowers may be put off by the lender’s past legal issues.
Guild Mortgage: Best for borrower assistance programs
Min. credit score
620
Min. down payment
3%
- Why we like itGuild Mortgage offers a wide range of products that may attract nontraditional borrowers, including loans with 0% or 1% down. However, interest rates aren’t published online, making it harder to shop around.Pros
- Offers a wide range of loans, including harder-to-find products that appeal to nontraditional borrowers.
- Borrowers can get a mortgage with 0% or 1% down.
- Borrowers can apply via mobile app.
ConsRead full review- Mortgage rates aren’t posted online.
- Origination fees are on the high side, according to the latest national data.
- Licensed in most states, but not all.
U.S. Bank: Best for home loans overall
Min. credit score
620
Min. down payment
3%
- Why we like itU.S. Bank offers a broad selection of mortgages, including some niche options. Rates and fees are middle of the road, per federal data. The bank offers helpful tech for rate shopping and live chat, though its online application could be smoother.Pros
- Wide variety of mortgages, including some harder-to-find types.
- Experienced in construction and renovation loans.
- Offers up to $17,500 in assistance (income/location requirements apply).
ConsRead full review- Rates shown online don’t reflect your credit score.
- Contact form interrupts online application before you can complete it.
- Few mortgage options for borrowers with low/bad credit.
PrimeLending: Best for construction loans
Min. credit score
620
Min. down payment
3%
- Why we like itPrimeLending stands out for its harder-to-find mortgages, including renovation loans and options for self-employed borrowers, though online rate shopping isn't available. Most likely to appeal to buyers who need help with closing costs or want to finance a fixer-upper.Pros
- Offers closing cost assistance to some borrowers.
- Wide variety of loan types, including non-QM loans.
- Mortgages are available for manufactured homes, including 3D-printed houses.
ConsRead full review- Loans are not available in all states.
- Rates are not posted online.
- Average origination fees are on the high side, according to the latest federal data.
Citibank: Best for jumbo loans
Min. down payment
3%
National / regional
National
- Why we like itCiti stands out for offering low mortgage rates compared to other lenders reviewed by NerdWallet, though fees are similar to competitors. Qualified borrowers can get a mortgage with 3% down and no private mortgage insurance, and Citi customers can get a discount on rates or closing costs.Pros
- Offers relatively low mortgage rates, according to the latest federal data.
- Rate discounts are available for existing customers.
- Ranks highly for customer satisfaction as a mortgage originator.
ConsRead full review- Must create an account to apply.
- Borrowers may have to go to a separate website (Mortgage.com) for some information.
- Does not offer renovation mortgages.
Movement Mortgage: Best for customer satisfaction
Min. credit score
N/A
Min. down payment
N/A
National / regional
National
- Why we like itMovement Mortgage, known for FHA loans, shares profits with its foundation to fund schools and community projects. However, it doesn’t post mortgage rates online, and average fees are a little high.Pros
- Average closing time under 25 days, faster than the national average.
- Offers down payment and closing cost assistance for FHA loans, with no income limits.
- Profit-sharing model supports charitable giving through the Movement Foundation.
ConsRead full review- Doesn’t post mortgage rates online.
- No online chat for customer service.
- Average origination fee is on the higher side, according to the latest federal data.
Chase: Best for jumbo loans
Min. credit score
620
Min. down payment
3%
- Why we like itChase mortgage has an above-average reputation for consumer satisfaction, and offers a number of programs that can make home buying more affordable and accessible.Pros
- Offers a wide range of loan types, including options with low down payment requirements.
- Home buyer grants up to $5,000 may apply for qualified borrowers.
- Receives above-average ratings for customer satisfaction, according to J.D. Power and Zillow.
ConsRead full review- Borrowers must create an account or speak with a home loan expert before completing an online application.
- Origination fees are on the higher side, according to the latest federal data.
How do I choose a mortgage lender?
Once you know what type of mortgage you want, finding the right lender may be easier than you expect. Don't want to do the research? A mortgage broker can give you a personalized list of options.
Applying for mortgage preapproval with multiple lenders can give you an idea of how much you could borrow, what interest rate you'd get and what it's like to work with each lender. Most lenders charge a fee to apply for a mortgage, but preapprovals can help narrow down your options for free.
To see actual interest rates and fees, you'll need to apply for a mortgage with more than one lender. Once you apply, you'll receive a Loan Estimate within three business days. This standard form makes it easy to compare lenders side by side.
How much do I need to save for a down payment?
The amount you need for a down payment depends on the type of home loan you choose. Some conventional loans offer down payments as low as 3%, but a down payment below 20% requires paying private mortgage insurance. FHA loan down payments can be as low as 3.5%, depending on your credit score. VA loans and USDA loans don't require down payments.
Can I get help making a down payment?
As a first-time home buyer, you may qualify for down payment assistance or other first-time home buyer benefits. These programs are usually run by state housing authorities, though some cities and counties offer them as well. You may need to meet income or residency requirements. Many programs also require a first-time home buyer class.
More from NerdWallet
Last updated on December 10, 2025
Frequently asked questions
- The best mortgage for you as a first-time home buyer is the loan you're qualified for that meets your needs. It depends on a number of factors, including your credit score.If your score is at least 580, an FHA loan is your best option. With a credit score of 620 or higher, a conventional loan could be a better choice.If you have a military connection, you might qualify for a VA loan. The Department of Veterans Affairs doesn't require a minimum credit score, though lenders can set their own requirements.
- There are many grants, special loans and down payment assistance programs for borrowers looking to buy their first home. Check out our list of first-time home buyer programs by state to get started.
- The easiest loan to qualify for is an FHA loan, because FHA requirements allow lower credit scores and are more flexible on debt-to-income ratios. However, if you have strong credit, a conventional loan may offer a lower down payment.
Methodology
The star ratings on this page reflect each lender's overall star ratings. Read more about how we determine those ratings. The lenders on this page are chosen using this methodology:
NerdWallet reviewed more than 40 mortgage lenders, including the majority of the largest U.S. mortgage lenders by annual loan volume (measured among lenders with at least a 1% market share), lenders with significant online search volume and those that specialize in serving various audiences across the country.
All reviewed mortgage lenders that offer programs for first-time home buyers were evaluated based on (1) the portion of their business dedicated to FHA and VA lending, (2) their ability to offer conventional loans with a down payment as low as 3%, (3) their origination fees, (4) their proprietary first-time home buyer loans or assistance (e.g. grants or loans to cover down payment and closing costs), (5) mortgage rate transparency, and (6) the ease of their online application. The highest scoring lenders appear on this page.
NerdWallet solicits information from reviewed lenders on a recurring basis throughout the year. All lender-provided information is verified through lender websites and interviews. We also utilized 2024 HMDA data for origination volume, origination fee, average interest rate and share-of-product data.
