The general rule is that your monthly mortgage payment (including taxes, insurance, and HOA fees if applicable) should not exceed 28–31% of your gross monthly income. Your total debt payments—including credit cards, car loans, and student loans—should stay below 43% of your income in most cases.
At Cornerstone First Mortgage we offer programs which allow more flexibility, especially for first-time homebuyers. Reach out to get a customized affordability estimate based on your income, credit, and down payment amount.
Conventional Loans require a minimum credit score of 620, but there are options for lower scores:
FHA loans can accept scores as low as 580 if your down payment is 3.5%. With a 10% down payment, Cornerstone First Mortgage can offer an FHA loan with a score as low as 500 (conditions apply)
Conventional loans typically require 620 or higher.
VA and USDA loans may allow more flexible credit requirements, depending on the lender.
Programs that offer alternative income documentation have different requirements.
That said, a higher credit score can save you thousands over the life of your loan by lowering your interest rate.
This depends on the loan type:
FHA: As little as 3.5% down
Conventional: 3–5% down for first-time buyers
VA and USDA: $0 down payment for eligible borrowers
In Florida, you may also qualify for down payment assistance programs like Florida Housing Bond or the Hometown Heroes program which can offer up to $35,000 in down payment assistance.
Most lenders look at:
Stable income (usually 2+ years with the same employer or in the same industry)
Debt-to-income (DTI) ratio under 43% (some programs allow up to 50%)
Cash reserves: Some programs require 1–2 months of reserves after closing
Proof of funds for down payment and closing costs, unless using a 0% down loan
Yes! There are two primary zero down payment loan options:
VA loans (for veterans, active-duty service members, and eligible spouses)
USDA loans (for rural and some suburban areas—even parts of Polk and Lake Counties!)
Additionally, Florida offers down payment assistance that can cover your upfront costs even if you don’t qualify for a zero-down loan.
Pre-qualification is an estimate based on self-reported information. It’s helpful for getting a ballpark idea of what you can afford.
Pre-approval is more in-depth. It involves a credit check, income verification, and financial review. A pre-approval letter shows sellers you’re serious and financially ready—making your offer more competitive.
Lenders look at:
Your gross monthly income
Your current debts (car loans, credit cards, student loans)
Your credit score
Your down payment amount
Loan type and term
They calculate your debt-to-income ratio (DTI) and use that to set your borrowing limit. A lower DTI = a higher approved loan amount.
Several factors affect your rate:
Credit score
Loan type (FHA, conventional, etc.)
Down payment size
Loan amount
Length of the loan (15 vs. 30 years)
Market conditions and the Federal Reserve’s rate policies
Improving your credit score and increasing your down payment can help you secure a better rate.
Final Thoughts
Buying your first home in Florida doesn’t have to be overwhelming. With the right guidance and local expertise, you can move forward with confidence and clarity.
🏡 Thinking about buying a home in Miami-Dade, Broward, Orange, Polk, or Lake County? Let’s talk! I can walk you through loan options, pre-approval, and programs designed just for first-time buyers.
Let’s Connect!
📞 Call/text me at 305-790-4222
📧 Email: LCuervo@cfmtg.com
📍 Serving Florida statewide with a focus on South and Central Florida