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NOAH, August 6 2025

How to Buy Your First Home with Limited Income in Boston

Buying your first home is an exciting and rewarding milestone, but it can seem like a daunting task—especially if you're working with limited income in a competitive market like Boston. The good news is that there are abundant resources, robust support systems, and proven strategies that can help you make this dream a reality.

 

In this blog post, we’ll walk you through the essential steps to take, highlight how NOAH’s First-Time Homebuyer Program can be your invaluable guide, and debunk common misconceptions about homeownership that we address to empower you along the way.

 

Table of Contents

First Steps for Buyers with Limited Income Start with Education Pre-Purchase Counseling Explore Local Assistance Programs What NOAH’s First-Time Homebuyer Program Offers Common Misconceptions and How We Address Them "I need perfect credit or a large down payment." "I won’t qualify because of my income." "Lottery homes are too complicated to apply for and out of reach." A Recent Success Story Glossary

 

1. First Steps for Buyers with Limited Income

Embarking on the homeownership journey, especially with limited income, requires strategic planning and access to the right information. Here’s where to begin:

 

Start with Education

Your first and most crucial step is to arm yourself with knowledge.

Attend a HUD-approved First-Time Homebuyer Workshop: NOAH offers a comprehensive program that provides an indispensable overview of the entire homebuying process. These workshops are offered in both English and Spanish, ensuring accessibility for diverse communities. Key topics covered include: Budgeting and financial planning Understanding credit scores and reports Exploring various mortgage options Navigating home inspections and appraisals

 

Pre-Purchase Counseling

Following your workshop, personalized guidance is key.

Meet one-on-one with a financial coach: This dedicated session allows you to delve into your personal financial situation, reviewing your income, existing debt, credit history, and savings. Your coach will help you develop a realistic and personalized plan, working towards homeownership at a pace that’s comfortable and sustainable for you.

 

Explore Local Assistance Programs

Boston and Massachusetts offer a wealth of support for first-time homebuyers.

Discover down payment and closing cost assistance programs: Many programs are available through the City of Boston, Massachusetts Housing Partnership (MHP), MassHousing, and various local municipalities. NOAH provides a detailed overview of these programs during the homebuyer course, along with crucial guidance on eligibility requirements and the application process. These programs can significantly reduce your upfront financial burden, making homeownership more attainable.

 

2. What NOAH’s First-Time Homebuyer Program Offers

NOAH is committed to guiding you every step of the way. Our First-Time Homebuyer Program provides comprehensive support, including:

8-hour HUD/CHAPA-approved classes: These in-depth courses are offered monthly, providing foundational knowledge essential for successful homeownership. Guidance on mortgage products and finding the right lender: We help you understand the complex world of mortgages and connect you with trusted lenders who specialize in assisting first-time buyers with limited income. Connections with trusted professionals: Gain access to our network of reputable real estate agents, experienced attorneys, and thorough home inspectors, ensuring you have the best team supporting your purchase. Certificate of completion: This certificate is a vital document, often required by lenders offering down payment assistance programs, validating your commitment to homebuyer education. One-on-one coaching: Receive continued support and personalized guidance both before and after the class, addressing your specific questions and challenges throughout your homebuying journey. Learn more and register for a class here: NOAH Homebuyer Classes

 

3. Common Misconceptions and How We Address Them

Many aspiring homeowners are held back by common misconceptions. At NOAH, we work to debunk these myths and show you what's truly possible.

 

"I need perfect credit or a large down payment."

Reality: Many people incorrectly believe that perfect credit is a prerequisite for buying a home. The truth is, numerous loan programs accept credit scores as low as 620. Furthermore, down payment assistance programs can significantly lower your upfront costs, making homeownership much more attainable than you might imagine.

 

"I won’t qualify because of my income."

Reality: This is a frequent concern, but many participants are pleasantly surprised to learn that they do qualify! With the right education, diligent budgeting, and expert guidance, homeownership is indeed possible—even for those with limited income. Our coaching helps you accurately understand your buying power and make informed decisions tailored to your financial situation.

 

"Lottery homes are too complicated to apply for and out of reach."

Reality: While affordable housing lotteries can seem competitive, these homes are specifically designated for low- to moderate-income households. During our workshops, we demystify the lottery process, show you precisely where to find listings, and provide step-by-step guidance on submitting a strong application. Many of our participants have successfully purchased homes through the lottery, proving it's a viable path to homeownership.

 

4. A Recent Success Story

Just last month, a couple with one child successfully closed on their first home in New Bedford. This achievement was made possible with the crucial help of down payment assistance and a favorable below-market-rate mortgage product. They had diligently completed the homebuyer education course and pre-purchase counseling with NOAH in May of last year.

Initially, they believed homeownership was still years away. However, with the consistent help and expert guidance provided during their coaching sessions, they systematically improved their credit, successfully applied for a One+ mortgage, and transformed their dream into reality, becoming homeowners in less than 12 months. Their story is a testament to what's achievable with the right support.

 

Glossary

CHAPA: Citizens’ Housing and Planning Association, an organization that promotes affordable housing in Massachusetts. Closing Costs: Fees paid at the closing of a real estate transaction, in addition to the purchase price of the property. These can include legal fees, appraisal fees, title insurance, and more. Credit Score: A numerical representation of an individual's creditworthiness, based on their credit history. Down Payment: An initial upfront payment made when purchasing a home, typically a percentage of the total purchase price. HUD: The U.S. Department of Housing and Urban Development, a federal agency responsible for national housing policy. HUD-approved workshops meet specific educational standards. Lottery Homes (Affordable Housing Lottery): Housing units offered at below-market rates to eligible low- to moderate-income households, with recipients often chosen through a lottery system. MassHousing: A quasi-public agency that provides financing for affordable housing and first-time homebuyer programs in Massachusetts. Massachusetts Housing Partnership (MHP): A public agency that supports affordable housing by providing financing, technical assistance, and policy leadership. Mortgage: A loan used to purchase a home or other real estate, with the property serving as collateral. One+ Mortgage: A specific mortgage product, often offered by MassHousing, designed for first-time homebuyers with low to moderate incomes, featuring low down payment options and competitive rates. Pre-Purchase Counseling: One-on-one sessions with a housing counselor to assess financial readiness for homeownership, set goals, and create a plan   

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