Do you think you need a 20% down payment to buy a home? Think again.
There are many people I speak to who say that they’re busy saving for a 20% down payment on a house. A 20% down payment is great, but you don’t need that much in order to buy a home. Here are some other options to consider:
- VA loans. If you’re a veteran or are married to one, you can purchase a home with 0% down.
- Conventional loans. These loans, usually offered by banks and mortgage companies, can have down payment requirements as low as 3%.
- FHA loans. Down payments for Federal Housing Authority loans can be as low as 3.5%
“If you’re ready, able, and willing to buy a home, don’t let the prospect of a 20% down payment spook you.”
Yes, 20% down is probably optimal, in that you won’t be required to have mortgage insurance, though there are some cases in which you can avoid mortgage insurance with down payments below 20%.
All in all, if you’re ready, able, and willing to buy a home, don’t let the prospect of a 20% down payment spook you. Reach out to me at my office and I can put you in touch with our preferred lender, who can then discuss what prices you qualify for, what your payments would be, what your comfort level is, how to get the best possible rates, and more.
If you have any questions, don’t hesitate to give me a call. I look forward to hearing from you.