Best Mortgage Lender for First-Time Home Buyers
All reviewed mortgage lenders are evaluated against the criteria below. The lender with the highest raw score is our Best Mortgage Lender for First-Time Home Buyers.
- 1. Must offer FHA and VA loans.
- 2. Must offer 3%-down conventional loans.
- 3. Charges low origination fees. (Lenders are scored from 1-5 with < $943.70 representing the best score.)
- 4. Targets first-time home buyers through proprietary loans or assistance (e.g., grants or loans to cover their down payment and closing costs).
- 5. Demonstrates rate transparency for consumers.
- 6. Demonstrates an ease of online application for consumers.
- 1. Lender with the lowest origination fees.
NerdWallet reviewed more than 50 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. We rated them on criteria including rate transparency, loan types offered, ease of application and more.
How we picked the lenders to evaluate:
Some of the providers are NerdWallet partners, but this did not influence our selection of the winner.
The winner is the mortgage lender that had the highest raw score when evaluated against NerdWallet's first-time home buyer mortgage lender star-rating rubric: offers FHA and VA loans (16.6%), offers 3%-down conventional mortgages (16.6%), charges low origination fees (16.6%), targets first-time home buyers through proprietary loans or assistance (16.6%), demonstrates rates transparency for consumers (16.6%) and demonstrates an ease of online application for consumers (16.6%). In the event of a tie, the winner must charge the lowest fees.
How we chose the winner:
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 2021 Home Mortgage Disclosure Act, or HMDA, data for origination volume, origination fee, interest rate and share-of-product data.