Most Common Loan for First-Time Home Buyers | Maryland Guide

What is the Most Common Loan for First-Time Home Buyers?

Maryland’s top loan types explained for 2025 buyers.

Updated August 31, 2025 · 5–7 min read

✅ FHA loans are the most common first-time buyer loans.
✅ VA loans serve Maryland’s military buyers with zero down.
✅ USDA loans are available in rural Maryland counties.

FHA Loans

FHA remains the go-to for first-time buyers.

  • 3.5% down
  • Flexible credit
  • Widely accepted

VA Loans

Popular for veterans and active-duty military.

  • Zero down
  • No PMI
  • Competitive rates

USDA Loans

Serve buyers in rural areas.

  • Zero down
  • Location eligibility
  • Income limits

Conventional Loans

A good fit for stronger-credit buyers.

  • 3% down options
  • No upfront MIP
  • Wider property eligibility

FAQ

What’s the most common first-time buyer loan in Maryland?

FHA loans are the most widely used for their low down payment and flexible credit requirements.

Are VA loans available to all Maryland buyers?

No, VA loans are exclusive to veterans, active duty, and qualifying spouses.

Where do USDA loans apply in Maryland?

They cover rural counties and outer suburbs; check USDA’s eligibility map.

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