Help for First-Time Homebuyers in New Mexico
- Author: Jennifer Kloss
- Posted: 2025-03-11
In the exciting world of buying your first home in New Mexico, there's some good news! Home prices have slightly decreased - by about 0.5% from last year, making it a bit easier for first-time buyers.
However, with the average house costing around $344,400, coming up with the cash for a down payment and closing costs can be tough for most. Thankfully, there's plenty of help available through Housing New Mexico, especially for those buying their first home.
Key Facts About New Mexico's Housing Market
- Average Home Price (as of January 2025): $344,400
- Average Down Payment (as of December 2024): $55,644
- Most Affordable Counties: De Baca, Hidalgo, Quay, Union
Programs for First-Time Homebuyers
- FirstHome: This program offers loans for those with low to moderate incomes looking to buy their first home. It supports various types of loans and can be paired with down payment help.
- HomeForward: For first-time and repeat buyers who don't qualify for FirstHome due to income, HomeForward offers another option with slightly higher income limits.
Down Payment Help and Grants
- FirstDown: Alongside a FirstHome loan, FirstDown provides funds to help with your down payment and closing costs. There’s also FirstDown Plus for extra support.
- HomeNow: If your income is at or below 80% of the area median income and you have a FirstHome loan, HomeNow offers $7,000 to help, which you don’t have to pay back if you stay in your home for 10 years.
- HomeForward DPA: Paired with a HomeForward mortgage, this offers up to 3% of the purchase price to assist with the down payment as a loan.
Local Programs in New Mexico
- Santa Fe County: Offers up to $20,000 in down payment assistance as a zero-interest loan, not due until you sell or pay off the mortgage.
- Rio Rancho: Provides up to $5,000 in assistance with no interest, forgivable after five years in the home.
- Albuquerque: Kirtland Credit Union offers up to $6,000 for down payments to its members who are first-time homebuyers, with no need to repay if you don’t sell or refinance within four years.
You may also explore housing assistance and support from the Federal Government. Click here to find out more.
Getting Started
As you gear up to buy your first home in New Mexico, remember to research and prepare:
- Read reviews to find a reputable lender who works with Housing New Mexico.
- Compare mortgage rates and understand the costs involved.
- Budget for homeowners insurance to protect your new home.
With the right preparation and understanding of the assistance available, you could be well on your way to owning your first home in New Mexico.
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Previous article: The Average Down Payment for Houses is Now More Than $63,000
