Zero Down?! What They Don’t Tell You About Buying a House

How much money do you need for a down payment on a house?

Well… it depends!

Yeah, that's right - different loan programs have different minimums.

VA loans: Zero down - unless part of your entitlement is still tied up in another home. Then, a down payment is required.

USDA loans: Zero down as well.

FHA loans:  Start at 3.5% down, but if your credit score is under 580, it's 10%. Fun twist - FHA can be zero down if you're buying from a family member. Or if you use down payment assistance program. Which are horrible!

Conventional loans: for a primary residence can go as low as 3% down - but income limits apply. If you make too much for 3%, then you'll need 5% down.

Vacation homes: 10% down.

Investment properties: At least 20%.

But Fannie and Freddie stick it to you on vacation and investment less than 25% down. Ask us how much down payment you need for the house
you're buying.

Later, Nerds.