Can I put ZERO down on a house loan?

Im 25 years old, have a steady job and a credit score of 740. I'm looking at a house for about $65,000. Do I need to have a down payment to get a loan? I live in Michigan, if that matters.

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  • 1 decade ago
    Favorite Answer

    In most cases, yes, you need a down payment. 3.5% is what FHA typically requires. In your case, that is below $2000. You could probably get the seller to pay the closing costs. You should be able to save up at least 2k!

    Unless you are a Vet or this home qualifies for a USDA loan, you won't be getting 100% financing.

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  • Angie
    Lv 6
    1 decade ago

    The days of zero down are over. That's one of the big reasons why the economy is in the state it is right now, people buying houses with nothing to back them up. You are being sensible by wanting to buy your own place. But you really need to make a commitment for a couple of years to save up the money necessary to put down on a house. And remember, the higher the down payment the better terms you can get on a mortgage.

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  • Anonymous
    1 decade ago

    Hi Nicole,

    A few year ago the answer would have been yes, but right now it is pretty unlikely. I don't know what the local bank situation is, but you'll probably need about a 5% down payment. Fortunately, that's not very much at all on a $65,000 house ($3250).

    Matt

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  • 1 decade ago

    Its the banks decision, but those loans are very, very rare right now. You can probably get a loan with just a little bit down (like 3%) since you sound qualified, but I don't think banks are writing 0% down loans right now. Still, no harm in asking around.

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  • Anonymous
    1 decade ago

    Yes, you need a down payment. An FHA loan requires at least 3.5% down plus closing costs. If you don't have cash in the bank, you're not ready to buy a house.

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  • Anonymous
    1 decade ago

    The days of 0 down are long gone.

    740 to 760 scores will be lowest you will need for 10% down.

    Any lower, and you will have to put 20% down.

    20% down is a great idea - that way you will not throw thousands away in PMI.

    PMI is not tax deductible, and does not go towards principal and interest.

    It's like throwing money away.

    Do you carry any credit card debt?

    Pay it in full each month to give your score a boost.

    Carrying balances is not only bad for your rating, it can ruin your life.

    /

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  • 1 decade ago

    Hello ,

    I saw your question I have decided to help people out

    due to the fact that I myself have been scammed three

    times by three lenders in my search for a loan but at

    last I got a reliable lender. That gave me the loan

    ($25,000) that I was in dire need off. Hence I

    decided that I will refer anybody I come across to this

    God sent lender he is reliable and his terms are fair.

    You can reach him via his email address:

    (vill.financeloanfirm@live.com), Please tell him that

    Nancy Anderson from.U.S.. ask you to come ok.

    God be with you

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  • Anonymous
    1 decade ago

    I THOUGHT that the days of zero down were totally gone.... but I just learned from a real estate agent that some small franchise places ARE still offering zero down. Now the big companies? No they are not. Look around EVERYWHERE!

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  • 1 decade ago

    AMAZING. Ever poster above is WRONG!!!

    With FHA, you will need 3.5% of your own money.

    HOWEVER!!!!!!!!, USDA loans are 0% down. Plus Michigan may have special low downpayment programs using state bond money. However, USDA is the best.

    In regards to closing, ask the seller to pay it.

    THe answer is YES!!! you can still buy a home with a total of $0.

    Talk with a lender

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  • Anonymous
    1 decade ago

    Not anymore. Almost no bank will do those kinds of loans any more with this economy.

    Source(s): I'm a property manager
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