Do I Need A Down Payment?

Yes, you do, unless you are getting a VA loan. All other “Zero” down programs have been taken away. If someone is telling you that you can buy with nothing down, then they are trying to scam you—plain and simple. A FHA loan has the lowest down payment available at 3.5% of the purchase price. This can be gifted to you by a relative through a gift letter. But it does have to be a gift, not a loan or promise to repay. Through FHA and VA, there are stricter guidelines with the condition of the home. A “Conventional” loan is the good old traditional type mortgage. They do require more down, as little as 5%, but the requirements on the condition of the home are not as strict and you usually get a better interest rate than by going FHA.