Can I Buy A Home With No Down Payment

Q: Can I buy a home with no down payment, or is this not a realistic option and should I wait until I can save some money for a down payment?

A: Ideally, having a down payment for house would be best, however, depending on what mortgage program or local home buying program the potential home buyer(s) qualifies for, and how good their credit profile is, they may not need a down payment (or only need a small down payment).

Realistically, in today’s housing market the majority of potential homebuyers will need to have some money to put down on a home, as well as very good credit to qualify for a home loan with most lenders. Although it is difficult to buy a home with no down payment, some potential homebuyers may qualify for one of the federal mortgage programs, or a local home buying program (in their state) that may allow them to receive financing for a home with no money down.

Some first time homebuyers and some current home owners may qualify for a FHA home loan, which could allow them to purchase a home with less than 3.5% money down.

Homebuyers with no down payment for a home can begin exploring their options for homeownership by contacting one of the HUD-funded housing counseling agencies and/or their local office of housing and community development to find out what type of housing programs are offered in their area, and if they qualify.