5 Best Mortgage Lenders for First-Time Home Buyers (October 2025)

Buying your first home can be tricky, so picking the right mortgage lender is important. Here are five of the best options, explained in simple terms:
 

1. Rocket Mortgage

 

• Available Nationwide.
• Offers common loans like Conventional, FHA, and VA.
• Low down payments—as little as 1% for some loans.
• Special programs let renters apply part of their rent to closing costs, and first-time buyers can get a 2% grant for their down payment.
• High marks for customer service, but total costs can vary.

 

2. Bank of America

 

• Available Nationwide.
• Provides Conventional, FHA, and VA loans.
• Offers grants up to $7,500 to help with closing costs and up to $10,000 for down payments in many states.
• Special programs for medical professionals.
• Known for strong customer satisfaction.

 

3. Pennymac

 

• Available Nationwide.
• Offers Conventional, FHA, VA, and USDA loans.
• Known for helping first-time buyers with government-backed loans.
• Gives a $1,000 credit after mortgage approval.
• Offers cash back when you use their recommended real estate agent.
• Customer service ratings are below average.

 

4. Veterans United

 

• Available Nationwide.
• Specializes in VA loans for military members, but also offers Conventional, FHA, and USDA loans.
• Lots of educational resources for buyers.
• Top-rated for customer satisfaction.
• Mainly serves those with military connections.

 

5. U.S. Bank

 

• Available Nationwide.
• Provides Conventional, FHA, VA, and USDA loans.
• USDA loans allow people in rural or suburban areas to buy homes with no down payment.
• Existing customers may get up to $1,000 credit.
• Quick and free prequalification process.
• Good customer service but some advertised rates require a high credit score and large down payment.

 

In summary

These lenders offer different programs to make home buying easier for newcomers. They help with low down payments, grants, and educational support.

Compare their offers to find the best fit for your situation.

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