Best First-Time Buyer Lenders in Massachusetts 2026: Top 9
Elizabeth Morgan
Massachusetts First-Time Buyer Expert | 13+ Years Experience
January 22, 2026
Looking for the best mortgage lenders for first-time buyers in Massachusetts? Massachusetts has 2,800+ lenders, but only 9 specialize in first-time buyers with low down payments, DPA programs, and Boston-area expertise.
6.35%
Average MA Rate
3%
Min Down Payment
$1.15M
Max Loan Limit
$50K
Avg DPA Grant
🏆 Top 9 Lenders for First-Time Buyers in Massachusetts 2026
Better.com - Best for Boston First-Time Buyers
5,400+ MA loans funded
Why #1 for First-Time Buyers:
- 💰 Lowest rates: 6.15%-6.35% APR
- 🎯 3% down conventional loans
- 📱 100% online process (perfect for busy Bostonians)
- 🏆 Connects with MA DPA programs
- ⚡ Pre-approval in 3 minutes
Best For:
Tech-savvy Boston first-time buyers who want lowest rates + fast process
📊 Massachusetts Loan Limits 2026 by County
| County | Major Area | 2026 Loan Limit |
|---|---|---|
| Suffolk | Boston | $1,149,825 ⭐ |
| Middlesex | Cambridge | $1,149,825 ⭐ |
| Worcester | Worcester | $498,257 |
| Hampden | Springfield | $498,257 |
🎉 Great News for Boston First-Time Buyers!
Suffolk and Middlesex counties have the maximum loan limit of $1,149,825 (2026). You can buy homes up to $1.15M with just 3% down ($34,495)!
💰 Massachusetts First-Time Buyer Programs 2026
1. MassHousing Down Payment Assistance
Grant Amount:
Up to $25,000 (0% interest, deferred payment)
Income Limits:
Up to $191,520 (Boston area)
Available statewide. Must complete homebuyer education course. Combines with MassHousing mortgage.
2. ONE Mortgage Program
Down Payment:
3% minimum (gift funds allowed)
Rate:
Below-market rates (6.00%-6.25%)
MassHousing program. Income limits vary by county. Must be first-time buyer or not owned home in 3 years.
3. Fannie Mae HomeReady (3% Down)
Down Payment:
3% minimum ($34,495 on $1.15M)
Credit Score:
620+ required
Available nationwide. Income limits: 80% of area median income. Lower PMI than standard conventional.
4. FHA Loan (3.5% Down)
Down Payment:
3.5% minimum ($40,244 on $1.15M)
Credit Score:
580+ accepted
Perfect for lower credit scores. FHA limit in Boston: $1,149,825. Higher MIP than conventional.
✅ First-Time Buyer Requirements Massachusetts 2026
Minimum Requirements
Credit Score:
580+ (FHA) or 620+ (Conventional)
Down Payment:
3% minimum ($34,495 on $1.15M home)
DTI Ratio:
43% max (50% with compensating factors)
Employment:
2 years stable income
MA-Specific Considerations
Closing Costs:
2-5% of purchase price ($23K-$58K on $1.15M)
Property Taxes:
1.17% avg ($13,455/year on $1.15M)
Transfer Tax:
$4.56 per $1,000 ($5,244 on $1.15M)
Homebuyer Education:
Required for most DPA programs (8-hour course)
❓ FAQ: First-Time Buyers Massachusetts 2026
Can I afford a home in Boston as a first-time buyer?
YES - with the right programs and strategies.
Example: $800,000 Boston Condo
- 3% down: $24,000
- MassHousing DPA: $25,000 grant
- Net down payment: $0 (DPA covers everything)
- Monthly payment: $5,200 (PITI + HOA)
- Income needed: $156,000/year (40% DTI)
What is the MassHousing program?
MassHousing is Massachusetts's state housing finance agency offering low-rate mortgages + down payment assistance for first-time buyers.
Key Benefits:
- Below-market rates (6.00%-6.25% vs 6.35% market)
- Up to $25,000 down payment assistance
- 3% down minimum
- Income limits: Up to $191,520 (Boston area)
- Must complete homebuyer education
Should I buy a condo or single-family home in Massachusetts?
Depends on location and budget:
Boston/Cambridge (Condos Better):
- Single-family: $1.2M-$2M+ (out of reach for most)
- Condos: $600K-$900K (more affordable)
- 3% down works for condos
- Lower maintenance
Worcester/Springfield (Single-Family Better):
- Single-family: $350K-$500K (affordable)
- More space, yard, privacy
- Better long-term investment