Best Mortgage Lenders for First Time Home Buyers in New Hampshire

New Hampshire offers small communities, bustling cities, and abundant nature. It's famous for Mount Washington, the White Mountains, a lakes region, friendly people, and tax advantages. According to a Zillow report, the average New Hampshire home value is $474,371, up 9.0% over the past year. 

Buying a home can be exciting for anyone, but nothing compares to your first home. Whether you're looking for a simple starter home or you've been saving for years and can purchase a bigger property, finding the right mortgage lender is essential. Read on to see the first-time home buyers of new Hampshire mortgage lenders to help you on your home-buying journey. 

Quick Look: Best Mortgage Lenders in New Hampshire for First-Time Home Buyers

• Best for Self-Employed: Rocket Mortgage
• Best for Government-Backed Mortgages: Angel Oak Mortgage Solutions
• Best for Fast Closing: CrossCountry Mortgage
• Best for Flexible Loan Solutions: LoanDepot
• Best for Mortgage Comparison: Credible Mortgage
• Best for VA Loans: Veterans United

6 Best New Hampshire Mortgage Lenders for First-Time Home Buyers

If you're looking for diverse mortgage lenders in New Hampshire, the lenders below offer a good starting point. Here's what you need to know.

1. Best for Self-Employed Borrowers: Angel Oak Mortgage Solutions

Headquartered in Atlanta, Angel Oak Mortgage Solutions offers many loan options. New Hampshire residents can apply for first-time mortgages and refinance into any of these loans. Another unique option is a 40-year fixed interest-only loan. 

If you're self-employed, bank statement mortgages make it easier to qualify for a mortgage. Instead of requiring tax returns, this option includes a 1099 income option for 1099 earners in New Hampshire. The customer service team is easy to reach via email, phone, or the online contact form. You can apply by searching for a local advisor or through the website. 

• Loan types offered: Conventional, bank statement, 1099 income, asset qualifier, foreign national, jumbo, and P&L loans, HELOC, and jumbo HELOC
• Credit score requirement: Varies by loan type
• Average days to close a loan: Varies
• State served: 47 states, including Washington, D.C., and New Hampshire

2. Best for Government-Backed Mortgages: Rocket Mortgage

Rocket Mortgage focuses on helping first-time homebuyers with limited funds to secure a mortgage. As the largest FHA lender in the country, it also offers conventional, VA, and home equity loans. You can use the website or the app to apply for a mortgage and manage your loan application easily online. 

Rocket Mortgage is a great option if you prefer to do your mortgage application online.  You can access the streamlined online process where all your documents are stored in one place. The apps make it easy to manage everything in one place. 

• Loan types offered: Conventional, refinance, jumbo, fixed, adjustable, FHA, VA and home equity loans
• Credit score requirement: 580
• Average days to close a loan: 30 to 45 days
• State served: All 50 states

3. Best for Fast Closing: CrossCountry Mortgage

CrossCountry Mortgage, also operating as Best Rate USA, is a nationwide lender with extensive loan offerings, for first-time or self-employed borrowers in New Hampshire. CrossCountry Mortgage is based in Cleveland but offers mortgages nationwide. Unique loan options include purchase, bridge, construction, and non-qualified (non-QM) loans.

Need fast closing? CrossCountry offers a FastTrack Credit Approval program that can help close in as little as seven days after signing a purchase agreement. If the underwriter requires additional documentation, the timeline could be longer. 

• Loan types offered: Conventional, jumbo, non-QM, and government-backed FHA, VA, or USDA loans
• Credit score requirement: Varies by loan type
• Average days to close a loan: Seven to 30 days
• State served: Nationwide

4. Best for Flexible Loan Solutions: LoanDepot

If you want to compare options, LoanDepot is a non-bank lender that lets you search online or visit one of over 200 branches nationwide. LoanDepot offers both fixed-rate and adjustable-rate conventional mortgages, jumbo, FHA, or VA loans, and 10-, 15-, 20-, and 30-year mortgage terms. 

In addition to mortgages and home refinancing, LoanDepot offers free credit score monitoring to help you prepare to apply for a mortgage. With LoanDepot, you'll need a minimum credit score of 620 and at least 5% down payment. 

• Loan types offered: Conventional, jumbo, FHA or VA loans
• Credit score requirement: 620
• Average days to close a loan: 30 to 60 days
• State served: All 50 states plus Washington, D.C. 

5. Best for Mortgage Comparison: Credible Mortgage

Credible is a lender marketplace that allows you to compare multiple lenders, making it an excellent starting place for first-time homebuyers. Credible offers a free, fully online mortgage broker service that lets you get quotes from online lenders.

To use Credible, you'll be asked to enter basic financial information to get quotes from several lenders on standard home mortgage products. Whether you find your mortgage lender on Credible or not, it can help to understand average rates and terms so you enter a mortgage with a stronger understanding of the market. But it offers excellent mortgage solutions so you can find your lender. 

• Loan types offered: Conventional, FHA, VA, jumbo, and refinance mortgage
• Credit score requirement: Varies by lender. Usually 650+ preferred
• Average days to close a loan: Varies by lender
• State served: 47 states, including New Hampshire

6. Best for VA Loans: Veterans United

If you can qualify for a VA loan, Veterans United offers a seamless mortgage experience to New Hampshire residents. Veterans United is the leading lender for veterans, with 4.9 out of 5 stars on over 11,000 customer reviews on Trustpilot. You can easily apply online or with its loan experts over the phone. 

Veterans United offers the necessary experience to ensure your VA loan application to close goes smoothly. They can guide you through securing your certificate of eligibility and all application steps. 

• Loan types offered: VA, USDA, FHA, jumbo, conventional, VA energy efficient mortgage, refinance
• Credit score requirement: 620
• Average days to close a loan: 40 to 50 days
• State served: Nationwide

The Housing Market in New Hampshire: An Overview

According to the New Hampshire Employment Security, housing prices in New Hampshire surged during the pandemic, with the median home sale price increasing from $300,000 in 2019 to $460,000 in May and June 2022. According to Zillow, the average New Hampshire home value is now $474,371, up 9.0% over the past year. 

Total households: 540,498, with 2,093 listings on Zillow as of May 2024

Median list price: $483,283

3 most expensive cities in New Hampshire to buy a house:

• Center Harbor: $686,985
• Meredith: $647,579
• Holderness: $622,293

3 most affordable cities in New Hampshire to buy a house:

• Ashland: $327,478
• Plymouth: $337,427
• Bristol: $382,697

How to Prepare for a Mortgage

Buying a mortgage as a first-time home buyer requires extra research and preparation. But with your documents in order, you can sail through the mortgage application and get the possible rates more easily. Here's what you need to know. 

Check Your Credit Score

You are entitled to a free credit score from all three credit bureaus at annualcreditreport.com. Be sure to check for inaccurate information and dispute it. You should also check for any negative marks bringing your credit score down and work to pay off debt and pay all bills on time to build a positive credit history.  

Save for a Down Payment

Consider using a high-yield savings account to earn more interest while saving for a downpayment. You can also use budget tracking apps to see where to save more each month. 

Research the Market

Start by estimating your budget and searching homes in that price range. Then, work with a real estate agent to understand local prices, comps, and opportunities for greater value. You can also start researching lenders and quotes. 

Gather Your Paperwork

Gather all the paperwork for the lender, including a government-issued ID, proof of income, such as paystubs or S-2s, bank statements, and tax returns. You must also provide information on debt and your tax identification number. 

Get a Purchase Quote

You can get a purchase quote from various mortgage lenders or request preapproval to determine your affordability. Be sure to compare offers from several lenders!

Start Shopping

Once you have preapproval, start working with a trusted real estate agent to find properties within your budget that meet your criteria. Be sure to check the neighborhood for features that are important to you, such as school districts, work opportunities, shopping centers, parks, restaurants, public transport, medical centers, walkability, or other features. 

What Are Your Mortgage Options?

There are different mortgage options for first-time home buyers, including convention, FHA, VA, USDA, and jumbo loans. Here is what each of those is and when you might consider it:

Conventional Loans

Conventional mortgages aren't regulated or insured by a government program. Conventional mortgages may require a higher credit score and down payment than mortgages backed by a government agency. 

FHA Loans

An FHA loan is a mortgage insured by the Federal Housing Administration that allows first-time homebuyers to purchase, renovate, or build a house. The loan can also be used for refinancing. 

FHA loans are ideal for borrowers with low credit scores. These loans are available from different lenders, such as independent mortgage companies and banks. These loans can have a down payment as low as 3.5% and are available to borrowers with lower credit scores. FHA loans also have a maximum loan amount that varies depending on where you live.

USDA Loans

A USDA home loan is backed by the U.S. Department of Agriculture and is available for people who want to buy a home in a rural area. You can check the USDA's website to see which areas are eligible. The USDA has strict income limits. Your household income should be equal to or less than 115% of the area's median income. 

Although there's no format credit score requirement, a credit history that shows a responsible repayment pattern is necessary. For borrowers without a credit score, the USDA uses alternative evaluation methods. 

VA Loans

VA loans are backed by the Department of Veterans Affairs. These mortgages have no down payment requirement. The VA is also flexible regarding credit scores and requires lenders to review your financial status. 

Jumbo Loans

A jumbo mortgage is a mortgage loan for an amount higher than standard conforming loan limits. For 2024, the upper limit is $766,550 to $1,149,825, based on location. You may need a higher credit score and higher income to qualify for a jumbo loan. 

What Are Mortgage Terms?

Mortgage terms include the total lender and whether the interest rate is variable or fixed. Here are the most common mortgage types. 

30-Year Fixed Loans 

As the name implies, a 30-year fixed mortgage has a term of 30 years. Your interest rate will be set, which means your monthly mortgage payments will be the same throughout the mortgage terms. 

15-Year Fixed Loans

Like a 30-year fixed loan, a 15-year fixed mortgage has a term of 15 years with a set interest rate. That means your monthly mortgage payments will be the same throughout the mortgage terms. 15 year fixed mortgages come with higher monthly payments, but you can save more on interest throughout the loan.

5/1 Adjustable-Rate Mortgages (ARMs)

A 5/1 ARM is a type of adjustable-rate mortgage. The first five years will have a fixed rate, while the one means that after five years, the interest rate will be adjusted once per year. 

What Are the First-Time Home Buyer Programs in New Hampshire?

There are various first-time homebuyer programs you can consider in New Hampshire, including:

• New Hampshire Housing Home Flex Plus Program: This state agency offers affordable housing options for low- and moderate-income residents who are first-time homebuyers. You'll need a minimum credit score of 620. 
• New Hampshire Housing House First Program: The New Hampshire Housing House First Program is a mortgage revenue bond program that offers below-market interest rates and cash assistance. For your down payment, you could get $10,000 in cash assistance. 
• New Hampshire Housing Home Preferred Plus Program: This program is ideal for low-to-moderate-income first-time homebuyers. It pairs your conventional home loan with closing cost assistance and a forgivable down payment to help you get into a home sooner.  

What Are the Lender Credit Score Minimums in New Hampshire?

Minimum credit scores in New Hampshire vary by lender and loan type. You could sometimes get a home loan with a credit score as low as 500. While a higher credit score could help you get lower interest rates or better terms, you can qualify with even fair to good credit scores in New Hampshire. 

What Are the Current Mortgage Rates in New Hampshire?

The current mortgage rates in New Hampshire vary based on loan type. Here's an overview:

Rates are based on an average home price of $225,000 and a down payment of 20%.

See more mortgage rates on Zillow

How to Close a Mortgage

During the closing stage of a mortgage, the mortgage underwriter will verify all the information provided and request an appraisal of the property. You will need to organize an appraisal and any other contingencies you specified. The underwriter may ask you for additional information or documentation. Be sure to stay in close contact with the mortgage lender to provide information promptly and avoid any delays to closing. 

Buying Your First Home in New Hampshire

Buying your first home is a huge step. In addition to being one of the biggest investments of most people's lives, it can be a significant step towards setting up your family's security and long-term stability. Remember to research lenders, buy within your means, and double-check all information. Working with a well-reputed mortgage lender and real estate agent can make the process easier. If you're considering buying in another state, you can also compare first-time homebuyer programs in all 50 states. 

Frequently Asked Questions