House Mortgage with No Down Payment

One of the biggest barriers to homeownership is coming up with a down payment . That’s why many aspiring homeowners ask: “Is there a house mortgage with no down payment?”

The good news is — yes, zero-down mortgages do exist , but they come with specific eligibility requirements and are not available to everyone.

In this post, we’ll explore:

  • Which mortgage loans offer zero down payment
  • Who qualifies for them
  • The pros and cons of buying a home with no down payment
  • How to apply and prepare for homeownership

Let’s dive in.


Can You Get a House Mortgage with No Down Payment?

Yes — but only through specific government-backed loan programs designed to help certain groups of buyers.

Here are the main zero-down mortgage options in the U.S.:

VA Loan✅ YesEligible veterans, active-duty service members, and some surviving spouses
USDA Loan✅ YesBuyers in eligible rural and suburban areas with moderate income
Conventional Loan❌ NoTypically requires 3–20% down
FHA Loan❌ No (Minimum 3.5%)First-time buyers or those with lower credit scores

🎯 Key Tip : VA and USDA loans are the only mainstream mortgage options that allow no down payment for qualified borrowers.


1. VA Loans – For Military Members and Veterans

Who it’s for:
Veterans, current service members, and eligible surviving spouses.

Benefits:

  • No down payment required
  • No private mortgage insurance (PMI)
  • Competitive interest rates
  • Lenient credit score requirements

Eligibility Requirements:

  • Meet minimum service requirements (e.g., 90 days of wartime service or 181 days of peacetime service)
  • Receive a Certificate of Eligibility (COE) from the Department of Veterans Affairs
  • Meet lender-specific credit and income standards

2. USDA Loans – For Rural Homebuyers

Who it’s for:
Buyers in designated rural and suburban areas who meet income limits.

Benefits:

  • Zero down payment
  • Low mortgage insurance premiums
  • Affordable fixed interest rates

Eligibility Requirements:

  • Must purchase a home in a USDA-eligible area
  • Household income must be within USDA guidelines (typically under $100,000 for most areas)
  • Must occupy the home as your primary residence

Are There Any Other Zero-Down Options?

While VA and USDA loans are the main zero-down mortgage programs, other limited assistance programs may also help reduce or eliminate down payments:

✅ State and Local Down Payment Assistance Programs

Many states and local governments offer:

  • Grants
  • Forgivable loans
  • Low-interest second loans

These programs often work alongside FHA or conventional loans to reduce your upfront costs.

✅ Employer-Assisted Housing Programs

Some employers offer housing assistance to employees, including:

  • Lump-sum grants
  • Matching funds
  • Low-interest loans for down payment or closing cost support

Pros and Cons of No Down Payment Mortgages

✅ No upfront cash needed⚠️ Limited to specific buyer groups
✅ Faster path to homeownership⚠️ May have stricter location or income limits
✅ No PMI with VA loans⚠️ Some loans require funding fees or mortgage insurance
✅ Easier budgeting for first-time buyers⚠️ Less equity at closing

What You Need to Apply for a No-Down Mortgage

To qualify for a zero-down mortgage , you’ll typically need:

  • Proof of eligibility (e.g., DD-214 for VA loans)
  • Stable income and employment history
  • Minimum credit score (varies by lender, often 620+)
  • Debt-to-income ratio under 41–45%
  • Willingness to live in the home as your primary residence

Final Thoughts

Yes, you can get a house mortgage with no down payment — but only through VA loans or USDA loans , or with the help of down payment assistance programs .

If you’re a veteran, active-duty service member, or planning to buy in a rural area, these programs can help you become a homeowner without draining your savings .

Always check your eligibility early and speak with a mortgage lender who specializes in these loan types.


Frequently Asked Questions (FAQs)

Q1: Can I buy a house with no money down?
Yes, through VA loans (for veterans) and USDA loans (for rural buyers), or with down payment assistance programs.

Q2: Do first-time homebuyers qualify for zero down payment?
Not automatically — unless you qualify for VA, USDA, or a state/local assistance program.

Q3: Is a no-down mortgage right for me?
It depends on your situation. If you’re eligible, it’s a great way to start building equity without upfront cash.

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