Exclusive to veterans, active-duty service members, and eligible surviving spouses. These loans require no down payment and typically lack private mortgage insurance (PMI), though they do carry a one-time "funding fee" (usually 2.15% for first use) that can often be rolled into the loan.
While most buyers aim for the standard 20% down, two primary federal programs allow for 0% down as of April 2026: buying a house with no savings
Conventional "first-time buyer" loans only require 3% down. Designed for "rural" areas—which actually includes 97% of
Designed for "rural" areas—which actually includes 97% of U.S. land mass , encompassing many suburban fringes. These are income-restricted (usually capped at 115% of the area median income) and offer 100% financing for "modest" dwellings. 2. Bridging the Gap: Assistance & Grants you could still owe $10
Some lenders will pay your closing costs in exchange for a slightly higher interest rate. 4. The Psychological & Financial Cost
The biggest trap for buyers with no savings isn't the down payment; it's the , which typically run 2% to 5% of the purchase price. Even with a 0% down loan, you could still owe $10,000+ on a $300,000 home at the signing table.
Many state and local Down Payment Assistance (DPA) programs offer grants (free money) or deferred-payment second mortgages that are forgiven if you stay in the home for a set period (often 5–10 years).