How big of a problem is it for 1st time home buyer w/ no down payment?

We're going to look at a house that is a steal at $119,000. But we weren't really planning to buy so soon, and don't have a down payment. Would this be a big problem?
Update: We have money for closing costs/inspections, etc. but just don't have 10 or 20 percent to put down. I hope that this isn't a huge roadblock. We'll talk to mortgage people after we see the house...thanks for all of your advice!!
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