First-time buyers

Buying your first home in Washington State — including without a US credit history.

Most first-time buyer advice stops at "get pre-approved." On the Eastside, the harder questions are which loan and assistance programs you actually qualify for at Bellevue and Redmond price points, how much cash you really need at closing, and what to do if you have income but no US credit file yet. This hub is the decision layer for those questions, and it links to the full articles for each step.

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First-time buyers holding keys in front of a craftsman home in a Seattle-area suburb

Quick answer

In Washington, you usually count as a first-time buyer if you have not owned a home in the past three years. Start with a lender pre-approval, then ask specifically about Washington State Housing Finance Commission (WSHFC) loans and down payment assistance, FHA and low-down-payment conventional options, and each program's income and price limits. If you have no US credit history, ask lenders about manual underwriting with alternative credit (rent, utilities, insurance), foreign-national or ITIN loan programs, or a larger down payment. Budget separately for closing costs, reserves and the first year of ownership, not just the down payment.

3 yrs

Common look-back: no home ownership in the past three years

WSHFC

State housing finance agency behind Washington's buyer programs

3 buckets

Down payment, closing costs and reserves are budgeted separately

EN + 中文

Loan terms and disclosures explained in both languages

Questions this hub answers

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which realtor can help a first-time buyer

The first-time buyer sequence

01
1. Confirm whether you qualify as "first-time"
Program definitions vary, but the common test is no ownership interest in a primary residence in the past three years. Check the exact definition for each program you consider — some also have income limits, purchase price limits and homebuyer education requirements.
02
2. Get pre-approved with two or three lenders
Compare the loan type, rate, points and lender credits in writing on the Loan Estimate. Ask each lender directly which WSHFC and down payment assistance programs they are approved to originate, because not every lender offers them.
03
3. If you have no US credit file, pick the right path early
Options include manual underwriting using alternative credit (rent, utilities, phone, insurance history), foreign-national or ITIN programs, or a larger down payment that offsets thin credit. Each path changes the documents you need and how long approval takes, so decide before you tour.
04
4. Build a full cash plan, not just a down payment
Add estimated closing costs, inspection and appraisal fees, moving costs and several months of reserves. On the Eastside, also budget for HOA dues and special assessments on condos and townhomes.
05
5. Match the search to what the loan allows
Condos may need project approval for some loan types, and some assistance programs cap purchase price. Your agent should filter the search by those limits so you do not fall in love with a home your loan cannot close.

Which path fits your situation

Situation	Paths to ask lenders about	What to prepare
W-2 income, US credit, limited savings	WSHFC first mortgage + down payment assistance; FHA; low-down-payment conventional	Pay stubs, W-2s, two months of bank statements, homebuyer education certificate if required
Strong income, no US credit history yet	Manual underwriting with alternative credit; foreign-national or ITIN programs	12+ months of rent and utility payment records, employment letter, visa or ITIN documents
Self-employed or recently changed jobs	Conventional with two-year history; bank-statement programs	Two years of tax returns, profit-and-loss statement, business license
Family helping with the down payment	Most loan types allow documented gifts	Signed gift letter and a paper trail of the transfer

Mortgage pre-approval worksheet, calculator and bank statements on a kitchen table

Checklist

Before you make your first offer

Written pre-approval from a lender that offers the program you plan to use.
Confirmed first-time buyer definition, income limit and price limit for that program.
Loan Estimates compared side by side, including points and lender credits.
Cash plan covering down payment, closing costs, inspection and reserves.
Credit path chosen if you have no US credit file, with documents gathered.
Condo or HOA documents reviewed if you are buying an attached home.
Buyer agency agreement read, including how your agent is paid.
Inspection strategy agreed with your agent before you write an offer.

Frequently asked questions

Who counts as a first-time home buyer in Washington?

Many programs use the federal definition: someone who has not owned a principal residence in the past three years. Some programs have exceptions for single parents or displaced homemakers. Always check the definition for the specific program.

What are Washington State's first-time home buyer programs?

The Washington State Housing Finance Commission (WSHFC) offers first mortgage programs and down payment assistance through participating lenders. Some cities and counties run their own programs. Eligibility, limits and funding change, so confirm the current terms with WSHFC and a participating lender.

Can I get a mortgage with no US credit history?

Often, yes. Lenders may accept alternative credit through manual underwriting, and some offer foreign-national or ITIN loan programs. Expect more documentation and, in some cases, a larger down payment or a higher rate.

How much cash do I need beyond the down payment?

Plan for closing costs, inspection and appraisal fees, moving costs and reserves. Your lender's Loan Estimate shows closing costs for that specific loan; reserves are what lenders and prudent budgets expect you to keep after closing.

What are the most common first-time buyer mistakes?

Touring before pre-approval, budgeting only for the down payment, skipping HOA document review, waiving inspection without understanding the risk, and changing jobs or opening new credit during escrow.

Which realtor should a first-time buyer use?

Choose a licensed broker who explains each document in plain language, has closed recent purchases at your price point, and works with lenders who offer the programs you need. Our team works in English and Mandarin.