Compare FHA, conventional, VA, and USDA purchase loan programs with transparent credit requirements, down payment options, and qualification timelines—prepare your credit and match with the right lender for your home purchase goals.
Powered by Browse Lenders® the nation's trusted mortgage and credit-education platform for employees and consumers.
Purchase mortgage loans finance primary residence acquisitions through FHA (3.5% down, 640+ credit), conventional (3-20% down, 620+ credit), VA (0% down for military), and USDA (0% down for rural properties) programs. The right program depends on your credit score, down payment savings, and long-term goals—with FHA offering flexible qualification but permanent mortgage insurance, conventional requiring higher credit but removable PMI, and VA/USDA providing zero-down options for eligible borrowers. Choosing the wrong program costs $8,000-$15,000 over 5 years in unnecessary MI or missed qualification opportunities.
Connecting with purchase loan specialists who understand program comparison, credit preparation strategies, and down payment planning ensures you match with optimal program timing for successful homeownership. For buyers leveraging cash-out refinance on current properties for purchase down payment, strategic coordination maximizes financial flexibility and minimizes total costs.
FHA, conventional, VA, and USDA loans compared side-by-side with credit requirements and down payment options
FHA loans require 3.5% down with 580+ credit (most lenders require 640+), allow gift funds and down payment assistance, and accept 43-50% DTI ratios. Ideal for first-time buyers with limited savings. Compare FHA specialists through Browse Lenders who understand credit tier pricing.
Conventional loans require 620+ credit, 3-5% down for primary residence purchases, and 43% DTI max. PMI required below 20% down but removable at 80% LTV. Best rates available at 740+ credit. Understanding your middle credit score determines your rate tier and qualification odds.
VA loans require 0% down payment, no PMI regardless of LTV, and offer competitive rates for veterans, active military, and eligible spouses. Focus on residual income requirements, not DTI ratios. Combine with existing home equity from cash-out refinance on previous properties to maximize down payment flexibility.
To explore purchase loan program options and connect with verified loan officers who specialize in FHA vs. conventional comparison, credit preparation, and first-time homebuyer financing, visit the Browse Lenders® marketplace for transparent guidance and expert purchase mortgage support.
Compare All Purchase ProgramsMaster the path from credit improvement to purchase loan qualification with expert guidance and proven strategies.
FHA accepts 640+ credit for 3.5% down (most lenders), while conventional requires 620+ minimum (740+ for best rates). Credit tiers dramatically affect rates: 660→680 saves 0.25% rate, 720→740 saves 0.375% rate. Understanding your middle credit score tier helps you determine which program offers better pricing and whether to apply now or improve credit first for thousands in savings.
FHA 3.5% down requires permanent mortgage insurance ($200-$300/month), while conventional 3-5% down includes removable PMI at 80% LTV. On $300K purchase: FHA = $10,500 down + permanent MI, Conventional 5% = $15,000 down + removable PMI. Gift funds, down payment assistance, and strategic cash-out refinance from existing properties through equity access all impact optimal strategy.
FHA allows up to 50% debt-to-income ratio with compensating factors (reserves, higher credit, stable employment), while conventional caps at 43-45% DTI typically. DTI includes mortgage payment + property taxes + insurance + car loans + student loans + credit cards + other monthly debts. Calculate your DTI before applying to understand which purchase programs accept your debt load through Browse Lenders specialists.
FHA wins when: credit 620-680, limited savings (3.5% down), high DTI (45-50%), need gift funds or DPA grants. Conventional wins when: credit 680+, have 5-10% saved, plan to sell/refinance within 5-7 years (PMI removable), DTI under 43%. Military should always compare VA 0% down vs. conventional. Check your middle credit score to determine which program tier you qualify for today.
Purchase loan program selection involves understanding multiple factors: down payment requirements (3.5% FHA vs. 3-5% conventional vs. 0% VA), mortgage insurance costs and removal options, credit score tiers affecting rates, debt-to-income limits by program, and total cost analysis over your expected holding period. While conventional loans allow PMI removal at 80% LTV, FHA mortgage insurance remains permanent for most purchases—making 5-year cost comparison critical before choosing programs.
Learn how to:
Our goal is to replace confusion with clarity—helping every buyer understand purchase loan qualification, program comparison, credit improvement timing, and long-term cost implications.
Explore Browse Lenders® Resources for purchase mortgage calculators, credit improvement tools, and expert guidance on program selection.
Real stories from first-time buyers and credit-conscious borrowers
"I almost applied for FHA at 658 credit because I thought 3.5% down was my only option. My loan officer showed me conventional 3% down would qualify at 660+ and let me remove PMI later. I spent 3 months improving my score to 667, got approved conventional, and I'll save $8,000 over 5 years by removing PMI at 80% LTV."
Jessica M. - Denver, CO
"First-Time Buyer, 658→667 Credit, Conventional 3% Down"
"My wife and I compared FHA vs. conventional for our $345,000 purchase. We had 672 credit and $20,000 saved. FHA 3.5% down meant $12,075 down + permanent MI at $240/month. Conventional 5% down was $17,250 + removable PMI at $180/month. We chose conventional and will cancel PMI in 4 years—saves us $15,000 total."
David & Sarah K. - Charlotte, NC
"672 Credit, Conventional 5% Down, $345K Purchase"
"I'm a veteran with 688 credit and qualified for both VA 0% down and conventional 5% down. VA meant no PMI and $0 down payment but required VA funding fee. My loan officer ran both scenarios—VA saved me $22,000 upfront and $185/month with no mortgage insurance. The funding fee was worth it for my situation."
Marcus T. - San Antonio, TX
"Veteran, 688 Credit, VA 0% Down"
"My parents gifted me $12,000 for down payment, and my state offered a $10,000 DPA grant for first-time buyers. I only needed $3,500 out of pocket for my $280,000 FHA purchase with 3.5% down. My loan officer helped me document the gift funds properly and connect with the DPA program—I own my home at 29 years old."
Ashley R. - Portland, OR
"First-Time Buyer, Gift Funds + DPA Grant, 651 Credit"
"I had 48% debt-to-income ratio with student loans and car payment. Conventional loans rejected me at 43% DTI limit, but FHA approved me at 48% DTI because I had 682 credit score, 6 months reserves, and 4 years stable employment as compensating factors. FHA understood my full financial picture beyond just DTI numbers."
Brandon L. - Austin, TX
"48% DTI with Student Loans, 682 Credit, FHA 3.5% Down"
"I was ready to buy at 718 credit with $25,000 saved. My loan officer suggested waiting 4 months to improve my score to 742 to hit the best conventional tier. I paid off two credit cards and disputed an error. My rate dropped from 6.50% to 5.875%—saving me $115/month or $6,900 over 5 years on my $320,000 purchase."
Michael C. - Raleigh, NC
"718→742 Credit in 4 Months, Conventional 10% Down"
Purchase loan program comparison, credit preparation guidance, and transparent lender connections
Today's homebuyers need more than rates—they need to understand FHA vs. conventional qualification, credit tier pricing, and program selection before committing to homeownership.
Browse Lenders® is a national mortgage-education and lender-matching resource for purchase loan program comparison and credit preparation.
Connect with licensed loan officers who specialize in purchase mortgage program comparison, FHA vs. conventional analysis, and credit preparation strategies for first-time and repeat homebuyers.
Understand how to compare purchase programs—beyond just rates—by evaluating credit requirements, down payment strategies, PMI costs, and total 5-year expense through comprehensive program comparison.
Learn what you need before applying—credit score targets by program, down payment planning, DTI calculation, and documentation requirements for faster purchase loan approval.
Forward-thinking HR departments are expanding financial wellness programs by including homeownership education and purchase mortgage guidance. Through Browse Lenders®, employers can offer no-cost access to purchase loan program comparison, credit improvement resources, and verified loan officers who help employees understand FHA vs. conventional options, down payment strategies, and qualification timelines before applying—reducing financial stress and supporting long-term employee stability through successful homeownership.
No-cost purchase loan education Add Browse Lenders® purchase mortgage resources to your financial-wellness program without contracts, fees, or onboarding complexity—employees access program comparison tools and credit education instantly.
Credit improvement tools for homebuying readiness Employees learn how FHA vs. conventional credit requirements work, access credit monitoring subscriptions to track improvement toward purchase loan qualification, and receive guidance on optimal timing for applications based on credit tier pricing.
Support homeownership and employee retention Empower your workforce with transparent purchase mortgage guidance and credit education that reduces financial stress, supports successful homeownership, and improves long-term employee stability and retention through professional education partnerships.
Purchase mortgage lenders use your middle credit score—the middle of your three bureau scores—to determine loan qualification, program eligibility, and interest rate pricing. Understanding which credit tier you qualify for (FHA: 640-679, 680-719, 720+; Conventional: 620-639, 640-679, 680-719, 720-739, 740+) helps you plan your homebuying timeline and avoid applying before credit improvement. Middle Credit Score® provides free education on credit-readiness, purchase loan qualification tiers, and loan-level price adjustments that impact your final interest rate and approval odds.
No-cost credit education without subscriptions
Access free, unbiased guidance on how purchase mortgage lenders use your middle credit score to determine eligibility and pricing—without credit pulls, subscriptions, or promotional upsells that inflate costs.
Understand purchase loan credit tiers before applying
Learn how your middle credit score affects FHA vs. conventional qualification, down payment requirements, and interest rate pricing—and discover targeted strategies to improve your score before applying for better qualification odds and lower rates.
Financial literacy builds homeownership power
With the right knowledge, buyers can improve eligibility, access better purchase loan programs, and protect themselves from predatory lending or high-cost mortgage insurance before committing to 30-year obligations on their largest investment.
Expert guidance on purchase loan programs, credit preparation, and homebuying strategies
Real experience improving credit from 657 to 695 before applying for purchase mortgage—comparing the rate savings and how 4 months of credit preparation saved thousands on my first home.
Read More
Detailed comparison of FHA vs conventional for first-time buyer with 668 credit purchasing $310,000 home—analyzing down payment, monthly payments, PMI costs, and total 5-year expenses to determine which program saves money.
Read MoreReal experience getting denied for conventional mortgage at 652 credit despite solid income and 10% down payment saved—how FHA's more flexible underwriting approved me for $295,000 purchase within one week.
Read More
Real comparison of VA loan with 0% down versus conventional loan with 5% down for active duty military purchasing $340,000 home—analyzing payments, total costs, and when VA's zero-down benefit actually saves money long-term.
Read More
Real experience using $14,500 in parental gift funds for entire FHA down payment plus closing costs—detailed documentation requirements, sourcing process, and common mistakes to avoid when using gift money for home purchase.
Read More
Real comparison of conventional 3% down versus FHA 3.5% down for first-time buyer with 688 credit—analyzing PMI removal advantage and why conventional's removable PMI saved $8,400 over 6 years despite higher monthly payment initially.
Read MoreReal experience with debt-to-income ratio limits for conventional purchase mortgage—understanding why 43% DTI was approved but 46% was denied despite same income and credit, and how I strategically reduced DTI to qualify.
Read MoreReal strategy of buying home with 672 credit using FHA loan, then improving credit 69 points over 18 months and refinancing to conventional to remove PMI and lower rate—analyzing the total savings and when this approach makes financial sense.
Read MoreClear answers about purchase loan programs, credit requirements, and homebuying readiness
Connect with purchase loan specialists who help you compare FHA, conventional, VA, and USDA options—understand credit requirements, prepare your finances, and match with the right lender for your home purchase goals with transparent guidance at every step.