Buying a home
You may have more ways to buy than you think.
Low down payment, zero down, fixer-upper financing and a few paths people often miss.
Pick the option that sounds closest to what you need, then open it for the details and official links. A lender can compare the actual payment and costs for your situation.
Ways to buy with less upfront.
These are home loans, not grants. Open one to see who it may fit and what to ask next.
FHA purchase mortgageGovernment-insured • Down payment as low as 3.5%
FHA-insured mortgages offer a low-down-payment path for eligible buyers purchasing a primary residence, including repeat buyers. FHA insures the mortgage; an approved lender makes the loan. Generally, only one FHA-insured primary-residence mortgage is allowed at a time, with limited exceptions.
Credit, property, loan-limit and underwriting requirements apply. FHA mortgage insurance and closing costs also affect the overall cost. Ask the lender whether you qualify for the minimum down payment and whether assistance can be combined with the loan.
Fannie Mae HomeReadyConventional • As little as 3% down • Income-qualified buyers
HomeReady is a conventional mortgage option for eligible borrowers with qualifying income at or below 80% of area median income for the property’s location.
A down payment as low as 3% may be available. Credit, property and education requirements apply. Mortgage insurance is generally required with less than 20% down.
Ask a mortgage lender whether it offers HomeReady and request a comparison with FHA, Home Possible and any assistance options.
Freddie Mac Home PossibleConventional • As little as 3% down • Income-qualified buyers
Home Possible offers low-down-payment financing for eligible borrowers whose qualifying income does not exceed 80% of area median income.
Credit, property and education requirements apply. Mortgage insurance is generally required with less than 20% down. Ask a mortgage lender whether it offers Home Possible and which costs and requirements apply to you.
HUD Section 184Eligible Native borrowers • Low-down-payment financing
For eligible American Indian and Alaska Native borrowers enrolled in a federally recognized tribe. HUD publishes a 2.25% down payment for loans over $50,000 and 1.25% for loans under $50,000.
Eligible-area, property and underwriting requirements apply. Ask a Section 184-approved lender about purchase, construction or rehabilitation options and potential assistance combinations.
USDA Guaranteed home loansEligible rural areas • No down payment for qualifying buyers
Financing for an eligible primary residence in a USDA-eligible rural area. Household-income and loan-approval requirements apply.
Some communities outside the urban core may qualify. Zero down does not necessarily mean zero cash to close. Ask about closing costs, fees and the exact property’s eligibility.
Financing a fixer-upper.
Explore a mortgage that includes eligible renovation costs.
FHA 203(k) renovation mortgagePurchase + eligible rehabilitation • FHA-insured financing
An FHA 203(k) mortgage can combine the purchase of a home and eligible rehabilitation costs into one mortgage. It may also be available for eligible renovations when refinancing.
Limited and Standard options: the appropriate route depends on the type and scope of repairs. Lender review, contractor documentation and program requirements apply; some projects require an FHA-approved 203(k) consultant.
FHA’s low-down-payment framework may apply, but the lender must calculate your required investment for the purchase and rehabilitation transaction. Ask about mortgage insurance, eligible repairs, contractor approval, renovation deadlines and the closing schedule.
Start early: confirm that your lender actually originates 203(k) loans before making an offer based on renovation financing.
VA purchase loans
Eligible veterans, service members and certain surviving spouses may have access to VA-backed purchase financing. A down payment may not be required, subject to entitlement, lender requirements and appraised value. There is no monthly mortgage insurance; a funding fee can apply unless exempt. VA purchase-loan information ↗
A shorter term is a different budget
At the same balance and interest rate, a 15- or 20-year mortgage pays off faster and requires a larger monthly principal-and-interest payment than a 30-year loan. Actual rates and costs vary. The calculator uses a labeled 30-year reference for the 20-year scenario until you enter a specific quote.
Bring back a few comparable numbers
For each option, compare the same price, down payment, rate-lock period and time horizon. Ask about APR, points, lender credits and any second loan. CFPB guide to a Loan Estimate ↗ helps explain the lender’s official figures. The site calculator is only a planning estimate.