The short answer: start with the property, then match the loan. A single-family house can work with almost any mainstream program. A condo also has to pass the lender’s review of the building. A two- to four-family you’ll live in qualifies for owner-occupied programs and may let rent help you qualify. An investment property or second home narrows the choices to conventional and other non-government loans. A home that needs work points toward a renovation loan.
At a glance
- Conforming limit, one unit
- $962,550
- 2026, Suffolk, Middlesex and Norfolk counties
- Conforming limit, four units
- $1,851,100
- 2026, same counties
- FHA move-in
- Within 60 days
- Of signing the mortgage
- Limited 203(k)
- Up to $75,000
- In repairs or improvements
- Standard 203(k)
- At least $5,000
- Of work, for major rehabilitation
- Loan Estimate
- Three business days
- After the lender receives your application
Quick comparison
| Property type | Loan types to ask about | Property rules that matter |
|---|---|---|
| Single-family house | Conventional (conforming or jumbo), FHA, VA, MassHousing, ONE Mortgage | Loan size against the county conforming limit; occupancy; program income limits |
| Condo | Conventional, FHA, VA, MassHousing, ONE Mortgage | Fannie Mae project review; FHA project approval or Single-Unit Approval; VA-approved project |
| Two- to four-family, owner-occupied | FHA, VA, conventional, MassHousing (2–4), ONE Mortgage (2–3) | You live in one unit; how rent from the other units is counted; higher conforming limits by unit count |
| Investment or second home | Conventional and portfolio loans | FHA and VA need owner occupancy; Fannie Mae second homes are one-unit only |
| Fixer-upper | FHA 203(k), Fannie Mae HomeStyle Renovation | Renovation scope, contractor bids, condo association approval for unit work |
| New construction or co-op | Conventional, VA; ask about others | New and newly converted condo project rules; co-op project eligibility |
Single-family homes
A single-family house is the simplest case, because the lender is only looking at you and the one property. Most mainstream programs are open to it.
Conventional loans. These follow Fannie Mae or Freddie Mac rules when the loan is at or below the conforming loan limit. Above that limit, the loan is non-conforming, usually called a jumbo, and its terms are set by the lender or investor rather than by Fannie Mae and Freddie Mac. FHFA’s 2026 county list (announced November 25, 2025) sets these limits for Suffolk, Middlesex and Norfolk counties, as of October 2026:
| Units | 2026 conforming limit (Suffolk, Middlesex, Norfolk) |
|---|---|
| One | $962,550 |
| Two | $1,232,250 |
| Three | $1,489,500 |
| Four | $1,851,100 |
Source: FHFA conforming loan limit values. Essex and Plymouth counties share these figures, most other Massachusetts counties use the $832,750 one-unit baseline, and the limits change every year.
FHA. FHA insures loans on homes you’ll live in. Its handbook requires at least one borrower to move in within 60 days of signing the mortgage and intend to live there for at least a year. FHA has its own loan limits by county, published by HUD.
VA. VA says you may be eligible for a VA-backed purchase loan if you have a Certificate of Eligibility, meet VA and lender standards, and will live in the home. VA’s page lists single-family homes up to four units, condos in VA-approved projects and new construction among the uses (VA purchase loan).
MassHousing and ONE Mortgage. These Massachusetts programs both cover single-family homes and have income limits and homebuyer education requirements. MassHousing works through approved lenders. ONE Mortgage, from the Massachusetts Housing Partnership, advertises a fixed rate and no private mortgage insurance, and is for first-time buyers. Our first-time home buyer guide covers how these programs and City of Boston assistance fit together.
Condos
With a condo, the building gets reviewed along with you. A lender can turn down a well-qualified buyer because the association’s budget, insurance, litigation or ownership mix doesn’t meet the program’s rules. Our guide to buying a condo in Boston covers the documents and the 6(d) certificate. This section covers the financing side.
Conventional (Fannie Mae). The Selling Guide’s project standards (Chapter B4-2) set which review a condo needs. Attached units in new, newly converted or established projects generally need a Full Review or a Fannie Mae review through its Project Eligibility Review Service. For a unit in a two- to four-unit condo project, or a five- to ten-unit project that isn’t part of a larger development or master association, project review is waived except for some basic requirements. That matters in Boston, where many condos are in converted row houses and two- and three-family buildings. The basic requirements still apply, including insurance and ineligible project types (B4-2.1-02).
FHA. FHA’s Single Family Housing Policy Handbook 4000.1 (updated August 12, 2026) says a condo unit must be in an FHA-approved project, meet FHA’s site condominium definition, or go through Single-Unit Approval. Single-Unit Approval is only for projects with at least five units, and FHA caps the number of FHA-insured loans in a building. In practice, an FHA buyer looking at a small converted building usually needs that building to already hold FHA project approval. You can check a building’s status with HUD’s FHA-approved condominium search.
VA. VA lists “a condo in a VA-approved project” as an eligible use.
State programs. MassHousing and ONE Mortgage both include condos. Ask the participating lender how it reviews the building.
What to ask before you offer
- Has the lender approved loans in this building recently?
- Is the building FHA- or VA-approved, if you need either?
- Will the association complete the lender’s condo questionnaire, and how long does that take?
Two- to four-family homes you’ll live in
Living in one unit of a two-, three- or four-family opens up owner-occupied financing on a building with rental income. Our guide to buying a multi-family in Boston covers FHA’s rules for these buildings in detail, including the self-sufficiency test for three- and four-unit properties and how rent is counted. In brief:
- FHA and VA both cover owner-occupied homes of up to four units.
- Conventional loans under Fannie Mae rules allow one- to four-unit principal residences, and the conforming limit rises with the number of units (see the table above).
- Rental income. Both FHA and Fannie Mae let lenders count some of the rent from the other units, with discounts and documentation rules. Ask your lender how much it will use and what it needs (leases, an appraiser’s rent estimate, tax returns).
- MassHousing states that its loans cover a single-family home, condo or two- to four-family property that will be your primary residence.
- ONE Mortgage lists condominiums and single-, two- and three-family houses. For a two- or three-family, MHP requires a pre-purchase multi-family/landlord course or a one-on-one counseling session with an approved agency.
Investment properties and second homes
How you’ll use the home changes your choices as much as what it is.
- FHA: the handbook states that investment properties are not eligible for FHA insurance. Secondary residences are allowed only with written FHA approval under narrow conditions tied to commuting hardship, and vacation homes are excluded.
- VA: you must live in the home you buy with a VA-backed purchase loan.
- Fannie Mae buys loans on principal residences, second homes and investment properties (B2-1.1-01). A second home must be one unit, suitable for year-round use, and occupied by you for some part of the year. Investment property loans carry loan-level price adjustments and generally must get an Approve/Eligible recommendation through Fannie Mae’s Desktop Underwriter, so expect different pricing and stricter terms than for a home you live in.
- MassHousing and ONE Mortgage require the home to be your primary residence.
Some banks also offer portfolio loans they keep on their own books, with their own rules.
Fixer-uppers and renovation loans
If a house needs work, a renovation loan can roll the repair costs into the mortgage instead of a separate loan or cash.
FHA 203(k). HUD describes two versions, as of October 2026. The Limited 203(k) lets buyers finance up to $75,000 in repairs or improvements, such as items flagged by a home inspector. The Standard 203(k) is for major rehabilitation, requires at least $5,000 of work, and keeps the total within the area’s FHA limit. A HUD-approved 203(k) consultant prepares the work write-up for the Standard version (optional for Limited), and funds are released in draws as work is completed. FHA’s occupancy rules apply.
Fannie Mae HomeStyle Renovation. Under Selling Guide B5-3.2-02, the property can be a one- to four-unit principal residence, a one-unit second home, a one-unit investment property, a manufactured home, or a unit in an eligible condo, PUD or co-op project. For a condo or co-op unit, the work must be allowed by the bylaws or approved in writing by the association, and it is limited to the unit’s interior.
New construction and co-ops
New construction condos face extra Fannie Mae review. The Selling Guide has a separate section for units in new and newly converted condo projects (B4-2.2-02), and FHA’s Single-Unit Approval requires the project to have certificates of occupancy, which rules out buildings still under construction. Ask the developer which lenders have already approved the project. VA also lists building a new home as an eligible use.
Co-ops are a different form of ownership from condos. Fannie Mae has its own co-op project eligibility rules (B4-2.3-02), and not every lender offers co-op loans, so line up financing early.
Fixed vs. adjustable rates, and points
These choices apply across property types. The CFPB explains them this way:
- Fixed-rate: the interest rate is set when you take out the loan and doesn’t change.
- Adjustable-rate (ARM): the rate may go up or down after an introductory period. Many ARMs start lower than fixed rates, and payments are likely to rise when the initial period ends. The CFPB warns not to assume you’ll be able to sell or refinance before the rate changes (CFPB).
- Points and lender credits: points lower your rate in exchange for paying more at closing; lender credits lower closing costs in exchange for a higher rate. The CFPB suggests asking a loan officer to show options with and without points or credits, and comparing total costs over the shortest, longest and most likely time you’ll keep the loan (CFPB).
Get Loan Estimates from more than one lender
A lender must give you a Loan Estimate within three business days of receiving your application. It shows the estimated rate, monthly payment and closing costs (CFPB). The CFPB recommends requesting Loan Estimates from several lenders and comparing origination charges and the services you can and can’t shop for (CFPB Loan Estimate tool).
When you compare lenders for a Massachusetts purchase, also ask:
Questions to ask each lender
- Do you participate in MassHousing, ONE Mortgage or City of Boston assistance, if you might use them?
- How do you review condo buildings, and how long does it take?
- Can you close within the mortgage contingency and closing dates in a typical Purchase and Sale agreement? Our guide to making an offer in Massachusetts explains those dates.
- What will closing cost? See closing costs in Massachusetts, and remember an attorney handles the closing here.
Common mistakes
Talk to us before you tour
The kind of home you choose and the loan you use are tied together, so it helps to sort them out early. The Pettengill Group can walk you through how financing affects your search and share the questions to bring to your loan officer. Start your home search or get in touch.