First-Time Home Buyer Programs in Massachusetts

Massachusetts offers several excellent programs to help first-time home buyers enter the market. Here's what you need to know.

MassHousing

MassHousing is Massachusetts' affordable housing bank, offering below-market interest rates and down payment assistance to first-time buyers. Key programs include:

• MassHousing Mortgage: Competitive rates with as little as 3% down
• Down Payment Assistance: Assistance for eligible buyers in certain communities
• MI Plus: Mortgage insurance that includes job loss protection

ONE Mortgage Program

The ONE Mortgage Program, administered by MHP (Massachusetts Housing Partnership), offers:

• 3% down payment
• No private mortgage insurance (PMI)
• Below-market interest rates
• Income limits apply

Federal Programs

• FHA Loans: 3.5% down with 580+ credit score, more flexible qualification requirements
• VA Loans: 0% down for eligible veterans and active military
• USDA Loans: 0% down for eligible rural areas (some MetroWest towns qualify)

First-Time Buyer Tax Benefits

• Mortgage Interest Deduction: Deduct mortgage interest on your federal taxes
• Property Tax Deduction: Deduct property taxes paid
• Capital Gains Exclusion: Exclude a portion of gains when you sell your primary residence

How to Qualify

Most first-time buyer programs define "first-time buyer" as someone who hasn't owned a home in the past 3 years. Income and purchase price limits vary by program and location.

Will works closely with lenders who specialize in first-time buyer programs. Contact him for a free consultation and lender referrals.