Low down payment options can help make homeownership more accessible.
Saving for a down payment is one of the biggest challenges many homebuyers face. Fortunately, there are mortgage programs that allow qualified buyers to purchase a home with less than 20% down and, in some cases, no down payment at all.
At HUNT Mortgage, our Mortgage Consultants can help you evaluate your options and determine whether a low down payment strategy aligns with your financial goals and homeownership plans.
Benefits of a low down payment
KEEP MORE MONEY AVAILABLE
A lower down payment allows you to preserve more of your savings for moving expenses, home improvements, emergency funds, or other financial priorities.
BUY A HOME SOONER
Qualified buyers may be able to purchase a home sooner rather than waiting additional months or years to save a larger down payment.
ACCESS SPECIALIZED LOAN PROGRAMS
Programs such as VA loans, FHA loans, and certain conventional mortgage programs may offer low down payment options for qualified borrowers.
Things to consider before making a low down payment
HIGHER MONTHLY PAYMENTS
When you put less money down, you borrow more. This generally results in higher monthly mortgage payments and may increase the total cost of financing over time.
PRIVATE MORTGAGE INSURANCE (PMI)
Many conventional loans require private mortgage insurance when the down payment is less than 20%. PMI adds to your monthly housing costs but may allow you to purchase a home sooner.
BUILDING EQUITY MAY TAKE LONGER
A larger down payment starts you with more home equity. With a lower down payment, it may take longer to build equity through mortgage payments and home appreciation.
Find the right down payment strategy for your situation.
Every homebuyer’s financial situation is different. Our Mortgage Consultants can help you compare loan programs, estimate monthly payments, and determine how much you may want to put down when purchasing a home.
Ready to explore your options? Contact a HUNT Mortgage Consultant or request a home loan quote today.
