Buy a Home With Little or No Money Down

You don’t need 20% down. Here’s how buyers get into a home with little or nothing down:

USDA Loans: $0 Down in Eligible Areas. USDA loans let qualified buyers purchase in eligible areas outside major cities with nothing down. Income limits apply.

Conventional Loans: As Little as 3% Down. Some conventional programs, such as Fannie Mae HomeReady and Freddie Mac Home Possible, allow qualified buyers to put down as little as 3%.

Down Payment Assistance Can Cover the Rest. State housing agencies, counties and cities offer grants and second mortgages that can cover part or all of your down payment and closing costs. Many carry no monthly payment and are only repaid when you sell, refinance, or pay off your mortgage. Most programs have rules, such as first-time buyer status, income and purchase price limits, and a homebuyer education course. Funding can run out, so timing matters.

Gift Funds May Help Too. Many loan programs allow down payment gifts from family members with proper documentation. Ask us how.

Why Choose Perry Johnson Mortgage?

Specialists for Every Program. We’re a broker, so we can shop your loan across a variety of lenders. Our loan officers specialize in USDA, FHA, and conventional loans, so you work with someone who knows your program and can match you with the assistance you qualify for.

A Faster, No-Hassle Process. Our streamlined application and custom digital notes mean you can get your money and do what you want with it, usually in less than 30 days.

Find Help in Your State. We track assistance programs in the states where we’re licensed. Read our guides for

• Michigan
• Florida
• Texas
• California
• Washington
• Illinois
• Ohio
• Pennsylvania
• North Carolina
• New Jersey

Frequently Asked Questions

Q: Can I buy a house with no money down?

A: Yes, if you qualify for a USDA loan, or if down payment assistance covers your down payment. Many other buyers can start with as little as 3% to 3.5% down.

Q: Does “no money down” mean no closing costs?

A: No. Closing costs still apply, but some assistance programs, seller credits, and lender options can help with them.

Q: Who qualifies for down payment assistance?

A: It varies by program. Many require first-time buyer status, income below a set limit, and a homebuyer education course. Some are open to veterans, teachers, nurses, and first responders.

Q: Is down payment assistance free money?

A: Some programs are grants. Others are forgivable or deferred loans that must be repaid under certain conditions. We explain which is which before you commit.