How much down payment is needed to buy a house?
There is a big myth out there that You need 20% down to purchase a home. This is not true! There are many different loan programs available that do not require 20% down.
There are Some loan programs that allow you to buy a home for zero down even. VA has a 100% loan, USDA has a zero down loan. There are down payment assistance programs that help loan or pay for your down payment.
There are some 1% down, 3.5% down, 5% down and 10% down programs available.
Each loan has certain qualifications and guidelines that have to be met but there are many options to purchase a home for little down.
There are some advantages of putting 20% down so if you have 20% to put down it might be the best route for you. Your lender can discuss your options and pros and cons with you– but the majority of 1st time homebuyers utilize the lower down programs.
If you are considering purchasing a home, the best thing for you to do is to talk to a lender who can show you all the loan programs available.
A lender can help determine which loan program is best for you and your needs. If you do not know a reputable lender to talk to – let me know. I have can give you a great referral for one.
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