Idaho first-time homebuyer assistance programs
If you’re a first-time homebuyer in Idaho, affording a house might be easier than you realized. Although home prices in the state are higher than the national median (and have risen more than 7 percent since last year), there is good news for aspiring homeowners: The Idaho Housing and Finance Association offers first-time and repeat homebuyers affordable loans and down payment assistance to help make a home purchase more manageable. Here’s a look at what’s available.
- Median home price, February 2025: $482,700 (Redfin)
- Median down payment, December 2024: $70,000 (Attom)
- Most affordable counties: Shoshone, Clark, Butte, Lewis, Washington
Idaho first-time homebuyer programs
HFA Advantage and HFA Preferred loans
In addition to conventional loans and government-backed mortgage options, the Idaho Housing and Finance Association (known as Idaho Housing) offers Freddie Mac HFA Advantage and Fannie Mae HFA Preferred loans, which allow homebuyers to obtain a competitively priced mortgage with as little as 3 percent down. These Idaho homebuyer assistance programs are open to first-time and repeat buyers.
Learn more: HFA loans: Everything you need to know
Idaho Housing First Loan
Idaho Housing’s First Loan program, which comes with a conventional, FHA, VA or USDA loan, is available to first-time homebuyers or repeat buyers purchasing in a targeted county. A first-time buyer is considered someone who hasn’t owned a home in the last three years. First Loans are tax-exempt, with rates up to 1 percent lower than other loan programs.
Idaho down payment assistance and grants
Idaho Housing Second Mortgage
This down payment assistance program comes in the form of a 15-year fixed-rate second mortgage. With it, you can finance up to 7 percent of the home’s purchase price. The interest rate on this loan is the rate on your primary mortgage, plus 2 percent.
To use this program, you’ll need to contribute at least 0.5 percent of the sale price from your own funds to the transaction.
Idaho Housing Idaho Heroes loan
Idaho Housing’s Idaho Heroes program offers this down payment assistance program to nurses, teachers and first responders. If you qualify, you can receive up to 7 percent of the purchase price as a 15-year fixed-rate second mortgage. The interest rate on the loan is equal to the first mortgage’s rate plus 2 percent.
City-specific homebuyer assistance programs
Homeownership Opportunity Program (HOP)
If you live or are planning to live in Boise, Idaho, you may be able to get a mortgage through the city’s Homeownership Opportunity Program. Interested homebuyers must contact one of the program’s two partner organizations, Neighborhood Works or LEAP Housing, to begin an application.
Other Idaho first-time homebuyer loans
In addition to Idaho’s homebuyer programs and HFA loans, there are other nationally-available mortgages, whose lower credit minimums and a low- or no-down payment requirement are particularly appealing to first-timers.
- FHA loans: You only need to have 3.5 percent of the purchase price down, plus a credit score of 580, to qualify for an FHA loan depending on the lender.
- VA loans: No down payment required, no minimum credit score to qualify, and competitive interest rates if you are a qualifying service member, veteran or eligible spouse.
- USDA loans: Like VA loans, there is no down payment required, and you may only need a credit score of 640 to qualify with USDA-approved lenders. However, USDA loans are only worth investigating if you want to purchase a home in a rural area (look here to see if your property meets the metrics for this mortgage)
In addition, other specialized loans, such as the Native American Direct Loan (NADL) or an energy-efficient mortgage (EEM), can help make homeownership more affordable for some borrowers.
Many of these programs have competitive interest rates, as well. To find out what you might be eligible for, head to Bankrate’s first-time homebuyer loans and programs guide.
Get started
Ready to start your homebuying journey in Idaho? Here are the next steps:
- Learn what programs you might qualify for. Buying a house in Idaho (or anywhere) takes patience and persistence to navigate the housing market. Visit the Idaho Housing and Finance Association’s website to find out which programs you’re eligible for.
- Explore mortgage lenders. Regardless of which program you ultimately choose, be sure to shop around with a few Idaho mortgage lenders and compare mortgage rates in the state. This will ensure you’re getting the best offer based on your credit profile and financial situation.
- Shop for homeowners insurance. When you buy a home, you’ll also need to purchase homeowners insurance. Take the time to learn about different homeowners insurance companies in Idaho to find the right coverage for your new house.
