First-time home buyers qualify if they’ve never owned a home, haven’t owned one in three years, or are displaced homemakers/single parents. Affordability is key; aim for housing costs around 28% of gross income. Closing costs range 2-5% of purchase price but can be reduced by lender comparison. Loans like FHA, VA, USDA, HomeReady, and Home Possible offer low down payments and credit flexibility. Assistance programs and education courses support buyers.