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If you're a first time home buyer, you probably need a loan that is a little more relaxed on credit and requires a minimal down payment. If this is the case, you'll probably want to look at the FHA government first time buyers loan option. FHA loans offer a low interest rate on fixed and adjustable loans, and are easier to qualify for than others. FHA allows for a 3.5% down payment, which is convenient for most people looking for a "starter" home. Also, if a person has not established credit, and has a 0 score without any derogatory items on his credit report, he can apply for FHA financing. All that is required are three alternative credit tradelines, or other bills that have been paid on time for at least a one year period. Examples are rent, car insurance, and utility bills. Also, If you've had a few credit issues, but your score is at least 600, you can apply for financing and often get approved. Another reassuring feature of FHA loans are that the loan can't be granted on a home that has anything more than minor cosmetic defects, so you know that there won't be unpleasant surprises post-closing.