FHA loans: 3.5% down
FHA loans are popular with first-time buyers because the down payment is small. With a credit score of 580 or higher, you can put down 3.5%. You must live in the home. FHA works for 1–4 unit homes, so you can buy a 2-family in Lynn and rent the other unit.
For 2026, the FHA loan limit in Essex County is $962,550 for a single-family or condo and $1,232,250 for a 2-family.
Since May 25, 2025, FHA loans are no longer open to non-permanent residents. Ask a lender which loans fit your situation.
MassHousing and ONE Mortgage
- MassHousing down payment assistance: up to $30,000 as a 0% deferred loan, or up to $25,000 as a 2% or 3% loan paid over 15 years. You must be an income-eligible first-time buyer and live in the home. It works for single-family homes, condos and 2–4 family homes. A homebuyer class is required. Details: masshousing.com.
- ONE Mortgage: a state program with 3% down (5% for a 3-family) and no private mortgage insurance. Income and asset limits apply. Details: mass.gov.
Some buyers can combine programs. Your lender tells you which ones you qualify for. Get pre-approved before you shop, so sellers take your offer seriously.
Homebuyer classes in Lynn
Most programs ask you to take a first-time homebuyer class. Lynn Housing Authority & Neighborhood Development (LHAND) runs these classes in Lynn. Ask LHAND about upcoming dates, or take another CHAPA-approved class, including classes offered in Spanish.
Getting around Lynn and the North Shore
Lynn is on the Newburyport/Rockport Commuter Rail line. The Lynn station closed for rebuilding in 2022, and temporary platforms opened in December 2023. Lynn does not have Blue Line service today. A Blue Line extension to Lynn has been planned for years, but it has no funding source.
Nearby towns like Swampscott, Salem and Peabody each offer different home styles and price points. Luis can help you compare them. He can also set up alerts for new listings in each town you are watching.
How Luis helps first-time buyers
Luis Tejada has worked in Greater Boston real estate since 1994 and was a mortgage broker. He helps you check your credit, connects you with lenders who know these programs, and explains every step in English or Spanish. As a notary public with hundreds of loan signings, he walks you through the closing papers too.
Sources: HUD: FHA 3.5% down payment with a 580 credit score · LendingTree: 2026 FHA loan limits in Massachusetts (by county) · HUD: FHA announces 2026 loan limits · MassHousing: Down Payment Assistance · Mass.gov: ONE Mortgage Program · Daily Item: LHAND to hold first-time homebuyer class (June 23, 2026) · Wikipedia: Lynn station (Newburyport/Rockport Line) · HUD Mortgagee Letter 2025-09: FHA residency requirements · Mass.gov: Property Transfer Lead Paint Notification
