Its still a significant boon to first time home buyers size of home irrelevant. $17,500 (3.5%) down is a couple months savings in NYC $100,000 (20%) is a couple years. Sure its a small studio, but it's a studio very close to work surrounded by amenities in a city where most people spend very little time at home. There is also crazy value in locking in cost of housing while costs around you rise and not having to own a car or insurance and maintenance for said car.