Buying your first home is a huge milestone — and for many in the LGBTQ community, it represents more than just financial stability. It’s about finding a space that’s truly your own, a safe and affirming place to live authentically. But before you start house-hunting, it’s important to understand your financing options.

Here are six common types of home loans LGBTQ first-time buyers should explore:

1. FHA Loans

Backed by the Federal Housing Administration, FHA loans are one of the most popular options for first-time buyers. They require lower down payments (as little as 3.5%) and are more forgiving of lower credit scores. This makes them ideal for buyers who may be early in their credit-building journey or have student loan debt.

2. Conventional Loans

Conventional loans are not government-backed, but they can offer competitive interest rates and flexible terms for those with good credit and steady income. LGBTQ couples applying jointly should compare both partners’ credit histories to ensure they’re getting the best rate possible.

3. VA Loans

If you’re a veteran, active-duty service member, or surviving spouse, you may qualify for a VA loan through the Department of Veterans Affairs. These loans often require no down payment and no private mortgage insurance (PMI), making them an excellent benefit for LGBTQ veterans looking to buy their first home.

4. USDA Loans

For buyers considering homes in rural or suburban areas, USDA loans (from the U.S. Department of Agriculture) offer 100% financing to eligible applicants. These loans can make homeownership possible for those with modest incomes who prefer quieter, community-based living.

5. State and Local First-Time Buyer Programs

Many states and cities have programs that assist LGBTQ and other first-time buyers with down payment grants, low-interest loans, or closing cost help. These programs are often designed to make housing more accessible and can be especially beneficial in high-cost areas.

6. LGBTQ-Friendly Credit Unions & Lenders

Some financial institutions specifically focus on serving the LGBTQ community, providing not only fair lending practices but also inclusive service experiences. Working with a lender who values equality can make your first home purchase smoother and more affirming.

Tips for LGBTQ First-Time Buyers

  • Check your credit early. Make sure there are no surprises before applying for a loan.
  • Get pre-approved. It helps you understand your budget and shows sellers you’re serious.
  • Find an LGBTQ-friendly real estate agent. Representation matters — and working with someone who understands your unique needs can make all the difference.

Buying your first home is exciting — and with the right loan and support, it can be one of the most empowering steps in your life.

Credit: Article inspired by resources from GayRealEstate.com, the nation’s leading source for connecting LGBTQ home buyers and sellers with experienced, equality-minded real estate professionals.