Government-backed loans are typically the easiest mortgage loans to qualify for since they are the least risky for lenders.
Many first-time homebuyers opt for FHA loans, due to lower interest rates, down payment requirements and credit score requirements. To qualify for an FHA loan, you only need a credit score of 580 and a minimum down payment of 3.5%. With this type of loan, rates are fixed and you can pay it off over 15 or 30 years.
If you are eligible for VA (for service members and veterans) or USDA (for rural properties) loans, you can qualify for additional interest breaks and no down payment requirements. Conventional loans are typically chosen by those with higher credit scores and more liquid savings to draw from. The right loan for you depends on your financial circumstances and personal details.