One of the biggest myths about homeownership is that you need a huge down payment to buy a house. The truth? You can buy a home with little to no money down. If saving up thousands of dollars has been holding you back, let’s talk about how you can get into a home sooner than you think.
At Ramon Espinoza Home Loans in Tempe, we don’t believe in telling people “no.” We believe in figuring out how to make it happen. If you have a steady income and decent credit but no savings for a down payment, there are solutions that can work for you.
Yes, You Can Buy With No Down Payment
There are plenty of loan programs that let you buy a home with little to nothing out of pocket. The key is knowing what you qualify for and how to structure your loan.
Here’s what’s possible:
- FHA Loans with Down Payment Assistance – FHA requires a 3.5% down payment, but if you have at least a 600 credit score, you can qualify for a true grant that covers the entire down payment.
- VA Loans – If you’re a veteran, National Guard or active-duty military, VA loans allow zero down payment with no mortgage insurance.
- USDA Loans – If you’re buying in a designated rural area, USDA loans require zero down and offer great interest rates.
- Conventional Loans with Assistance – Some conventional loans allow you to put as little as 3% down, and certain programs will cover that amount for you.
These options make it possible to become a homeowner even if you don’t have money saved up.
What About Closing Costs?
Down payment assistance is great, but closing costs are another piece of the puzzle. Typically, you’ll need a couple thousand dollars to cover things like lender fees, title fees, and insurance. But there are ways to reduce or even eliminate these costs:
- Seller Credits – We can negotiate with the seller to cover some or all of your closing costs.
- Lender Credits – Some lenders can structure the loan to cover part of the closing costs.
- Grants & Assistance – Certain programs help with both down payments and closing costs.
I’ve helped people close with as little as $500 out of pocket. While that’s rare today, a couple thousand dollars is often enough to get you into a home.
Who Qualifies for No Down Payment?
Every buyer’s situation is different, but here’s a quick checklist of what helps you qualify for down payment assistance or zero-down loans:
- 600+ credit score (higher scores open more options)
- Steady income (employment or self-employed income that can be verified)
- Debt-to-income ratio within limits (we’ll help you calculate this)
- Buying a primary residence (most assistance programs require this)
If you meet these basics, we’ll find a way to make homeownership happen for you.
The Bottom Line
Not having a down payment shouldn’t stop you from buying a home. There are programs, grants, and strategies that can help you move forward—even if you think you’re not financially ready.
The best way to know your options? Talk to a lender who actually cares about helping you succeed. That’s what we do. Let’s figure out the best way for you to become a homeowner.
Contact us today at clemente@ramonespinozahomeloans.com or ramon@ramonespinozahomeloans.com. Se habla Español.
