Financing Your First Property: FHA Loans, Low Down Payments & Credit
Financing is where most first-time buyers get stuck — and where the right loan can put you in a property years sooner than you thought possible. For owner-occupants, the FHA loan is the workhorse: it lets you buy a 1-4 unit home with as little as 3.5% down and more forgiving credit requirements than a conventional mortgage.
This guide covers how to finance a house hack the smart way. You will learn the FHA loan requirements every first-time buyer needs to know, how to qualify even with credit under 620, and how to structure the deal so you live for free while building equity. Understanding your financing options is what separates buyers who close from buyers who keep renting.
Read the articles below to build your financing game plan, then book a call to map it to your exact numbers.
In this guide
- FinancingHow to Qualify for an FHA Loan With Under 620 CreditQualify for FHA loans with credit scores under 620. Learn down payment requirements, compensating factors, and approval strategies for low-credit borrowers.Read the guide →
- FinancingFHA Loan Requirements Every First-Time Buyer Needs to KnowFHA loans let first-time buyers purchase a home with 3.5% down and a credit score as low as 580. The Federal Housing Administration backs the loan, which means lenders take on less risk and approve borrowers who wouldn't qualify for conventional financing.Read the guide →
FinancingHow to House Hack With an FHA Loan in 2025A step-by-step playbook for buying a small multifamily, living in one unit, and letting tenants pay your mortgage — using just 3.5% down.Read the guide →
Explore the other guides
- House HackingThe complete house hacking guide for teachers, nurses, and first responders. Learn how to buy a 2-4 unit property, let tenants cover your mortgage, and go from renter to owner.
- First-Time InvestorA first-time investor's playbook: how to calculate rental cash flow, find off-market deals, screen tenants, and use the right tools to buy your first investment property with confidence.
- Short-Term RentalsHow to earn short-term rental income: rent rooms or units on Airbnb, set up your space, and turn extra rooms into $3,000+ a month while you house hack.
Frequently asked questions
What credit score do you need for an FHA loan?
FHA technically allows scores as low as 500 (with 10% down) or 580 (with 3.5% down), though many lenders set their own floor. Our under-620 guide shows how to qualify and which lenders are flexible.
How much is the FHA down payment for a multifamily?
The same 3.5% minimum applies to owner-occupied 2-4 unit properties, which is what makes FHA the go-to loan for house hacking.
Can you use rental income to qualify for an FHA loan?
On 2-4 unit properties, lenders can often count a portion of projected rent from the other units toward your qualifying income, helping you afford more property.
Want this mapped to your exact numbers?
Book a free strategy call and we'll build your renter-to-owner plan together.
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