0%
VA + USDA
VA: zero down for eligible vets. USDA: zero down in geographic-eligible zones. Both come with no PMI. The two best loan products in the system if you qualify.
Down Payment · the real number
The 20% rule
isn't a rule.
Twenty percent down is a 1990s leftover. Today: 0% works (VA, USDA), 3% works (Conventional 97), 3.5% works (FHA), and 57+ DPA programs across our footprint can cover most of it. Here's the honest math.
· Down payment by loan type
Five paths.
Five down payments.
3%
Conventional 97
Fannie/Freddie's first-time buyer program. 3% down with 620+ credit. PMI included but drops at 80% LTV. Better long-term math than FHA for most decent-credit borrowers.
3.5%
FHA
FHA's headline number with 580+ credit. Lifetime MIP unless 10%+ down. The most-forgiving on credit but most-expensive long-term.
5-15%
Conventional + DPA
Standard conventional ranges. Programs like HomeReady reduce PMI for income-eligible buyers. DPA can stack on top to reduce out-of-pocket.
20%+
PMI-free conventional
20% down = no PMI from day 1. Stronger pricing tier. Right move IF you have the cash + reserves to maintain 3+ months PITI after closing. Don't drain savings to hit 20%.
· DPA reality
Four DPA truths
to know first.
Pitfall 01
DPA can cover most of the down payment.
Some markets (Detroit, Cleveland Heights, Charlotte) have DPA stacks of $25K-$95K. Combined with 3% conventional or 3.5% FHA, cash-to-close can drop to almost nothing.
Pitfall 02
DPA usually requires counseling.
Many DPA programs require 8-hour HUD-approved homebuyer education. Free, online OK in most cases. Plan for the time.
Pitfall 03
DPA programs have income limits.
Most DPA caps at 80-120% of area median income. Higher earners often can't use the strongest programs. Check eligibility before falling for a property.
Pitfall 04
Forgivable vs repayable matters.
Forgivable second mortgages = grant if you stay X years. Repayable = installment loan. Read which type your DPA program is. Different math.
Down payment is mappable.
Find yours.
Five minutes. We map your zip against every DPA program AND tell you which combination fits your file.