Saving for a down payment is often the single largest hurdle first-time buyers face. Fortunately, there are federally backed programs that permit 100% home financing, allowing you to skip the deposit requirements entirely.
1. VA Loans (0% Down for Veterans)
The Department of Veterans Affairs guarantees home loans for qualifying service members, veterans, and surviving spouses. VA loans permit 0% down payments, carry competitive interest rates, and do not charge monthly PMI fees.
2. USDA Loans (Rural Housing Support)
The US Department of Agriculture backs 100% financing home loans targeted at low-to-moderate-income buyers purchasing homes in designated rural and suburban areas. Check eligible maps under the USDA database to see if your target zip code qualifies.
USDA & VA 100% Finance Calculator
$1,559
3. Down Payment Assistance (DPA) Programs
If you don't qualify for VA or USDA programs, state housing finance agencies (HFAs) provide DPA grants and secondary loans. These programs cover the minimum 3% or 3.5% down payment requirement, matching federal guidelines for conventional or FHA files.
🔗 SILO Links: Model your payments with our Mortgage Payment Calculator or check US Mortgage Rates.