The best loan for first time home buyer depends on their individual financial situation and goals. Here are some options to consider: 1. FHA Loan: This loan is backed by the Federal Housing Administration and is ideal for first-time homebuyers who have limited funds for a down payment or a low credit score. 2. USDA Loan: If you're buying a home in a rural area, you may be eligible for a USDA loan, which requires no down payment and has a lower interest rate compared to other loans. 3. Conventional Loan: This is a traditional mortgage loan that is not backed by the government. It typically requires a higher down payment but has lower interest rates compared to other loans. 4. VA Loan: If you're a veteran or active-duty military, you may be eligible for a VA loan, which requires no down payment and has a lower interest rate. It's important to compare different loan options and speak to a lender to determine which loan is best for your individual financial situation.