First-Time Buyer Loans in Vermont (2026): Requirements & Lenders

First-Time Buyer loans in Vermont

Quick answer

First-time buyers in Vermont can use FHA (3.5% down), conventional 97 (3% down), VA or USDA loans, plus programs from Vermont Housing Finance Agency (VHFA). On a $290,500 home, 3% down is about $8,715.

First-Time Buyer loan snapshot for Vermont

Item	Estimate
Minimum down payment	0%–3.5%
Minimum credit score	580–620
Typical VT home value	$290,500
3.5% down on typical home	$10,168
20% down on typical home	$58,100
Avg. effective property tax	1.71%/yr (~$413/mo)
Income for typical home (31% rule)	$99,000

Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.

Which Vermont programs pair with First-Time Buyer loans?

MOVE: A first mortgage for first-time buyers within limits.
ASSIST: A 0% deferred down payment and closing cost loan.

Details and current limits: Vermont Housing Finance Agency (VHFA).

Compare first-time buyer loan options

Loan	Min. down	Min. credit	Mortgage insurance
FHA	3.5%	580	1.75% upfront + annual MIP
Conventional 97 / HomeReady / Home Possible	3%	620	PMI, removable
VA	0%	Lender-set (~580–620)	None (funding fee)
USDA	0%	~640	1% upfront + 0.35% annual

Who counts as a first-time home buyer?

Under HUD and most agency definitions, you're a first-time buyer if you haven't owned a principal residence in the last three years. Single parents and displaced homemakers who only owned with a former spouse may also qualify.

First-Time Buyer loans in Vermont cities

First-Time Buyer in Burlington First-Time Buyer in South Burlington First-Time Buyer in Rutland First-Time Buyer in Essex Junction

Frequently asked questions

Yes. First-Time Buyer loans are available statewide in Vermont through approved lenders, subject to county loan limits where they apply.

Often yes. Vermont Housing Finance Agency (VHFA) and local programs frequently pair assistance with FHA, conventional, VA or USDA first mortgages. Eligibility depends on income, price and program rules.

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Figures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.