Yes, but only through specific loan programs — and they come with real trade-offs

You can buy a house with zero down payment, but only if you meet the requirements of one of a few loan types designed for it. The most common are VA loans (for military members and veterans), USDA loans (for rural properties), and some FHA loans (for first-time buyers and others). Conventional loans — the standard mortgages most people use — almost never allow zero down.

The catch is real: no down payment means you pay more in interest over the life of the loan, you'll pay a monthly insurance fee to protect the lender if you stop paying, and you have less cushion if the house needs repairs or the market drops. Lenders are taking on more risk, so they charge you for it.

Key Takeaways

  • VA loans and USDA loans allow zero down payment, but VA loans are only for military-connected borrowers and USDA loans only for properties in may be able to access rural areas.
  • FHA loans allow as little as 3.5 percent down, not zero, but are easier to get than conventional loans if your credit is not perfect.
  • With zero down, you pay mortgage insurance every month — a fee that protects the lender, not you — for years or the life of the loan.
  • You will need proof of income, a credit score (usually 580 or higher for FHA, 620 or higher for conventional), and a job history to get approved, even with no down payment saved.

VA loans: zero down if you served

A VA loan is backed by the Department of Veterans Affairs and is available to military members on active duty, veterans, and some surviving spouses. The lender knows the government will cover part of the loss if you default, so they don't require a down payment.

You do pay a one-time funding fee — usually 2 to 3 percent of the loan amount — which can be rolled into the loan itself so you don't pay it upfront. This fee is the lender's protection, not an insurance premium you pay monthly. If you are receiving disability compensation from the VA, you may not pay the fee at all.

To use a VA loan, you need a Certificate of may be able to access, which you request from the VA. You can explore online at VA.gov, by mail, or through your lender. The process takes a few days to a few weeks. Once you have it, any lender that offers VA loans will accept it as proof you may have access to.

USDA loans: zero down in rural areas

A USDA loan is backed by the U.S. Department of Agriculture and is meant to help people buy homes in rural areas where lending is thin. You need to buy a property in a county the USDA has marked as may be able to access — most rural counties may have access to, but some suburbs near cities do not. You can check if your county is may be able to access on the USDA website.

Like VA loans, USDA loans require no down payment. You do pay a may provide fee — usually 1 to 2 percent of the loan — which can be rolled into the loan. You also pay an annual mortgage insurance premium, a monthly fee that protects the lender. This fee stays on your loan for the full term unless you refinance later.

Income limits explore: your household income cannot exceed 115 percent of the median income for your county. For a family of four in a rural county, this might be $90,000 to $110,000 depending on location. The USDA website has an income calculator for your specific area.

FHA loans: 3.5 percent down, not zero

FHA loans are backed by the Federal Housing Administration and are designed for buyers who don't have much saved. The minimum down payment is 3.5 percent, not zero, but that is far less than the 10 to 20 percent conventional loans usually require.

On an FHA loan, you pay mortgage insurance two ways: an upfront fee (1.75 percent of the loan, usually rolled in) and a monthly premium that stays on your loan for 11 years if you put down 3.5 percent, or until you reach 20 percent equity if you put down more. This monthly fee can add $100 to $300 to your payment depending on the loan size.

FHA loans are easier to get than conventional loans if your credit score is lower (580 or above works) or your debt is high. You need a job history of at least two years, but it doesn't have to be with the same employer.

What lenders actually check when there's no down payment

With no money down, lenders look harder at everything else. They want to see that you can afford the monthly payment and that you're not likely to walk away from the loan.

You'll need a credit score — usually 580 or higher for FHA, 620 or higher for conventional, and no minimum for VA (though most lenders want 620). Your score comes from your history of paying bills on time. If you have no credit history, some lenders will look at rent payments, utility bills, or insurance payments instead.

You'll need proof of income: recent pay stubs, W-2 forms from the last two years, and possibly tax returns. If you're self-employed, lenders want two years of tax returns. If you receive income from Social Security, disability, or child support, bring documentation of that too.

You'll need a job history. Lenders want to see that you've been employed for at least two years. If you changed jobs recently, bring an offer letter from your new employer showing the start date and salary.

The real cost of borrowing with no down payment

Putting nothing down means you borrow the full purchase price. On a $300,000 house, that's a $300,000 loan instead of a $270,000 loan (if you'd put 10 percent down). Over 30 years, that extra $30,000 costs you thousands in interest.

You also pay mortgage insurance for years. On an FHA loan with 3.5 percent down, that insurance stays on your loan for 11 years minimum — that's $100 to $300 per month you wouldn't pay if you had put 20 percent down. On a USDA loan, the annual insurance premium never goes away unless you refinance.

The trade-off is real: you get into a house sooner, but you pay more for it. For some people — especially those whose rent is already high or whose income is stable — that trade-off makes sense. For others, waiting to save a down payment costs less in the long run.

What happens if you can't find a zero-down program you may have access to for

If you don't may have access to for VA, USDA, or FHA loans, conventional loans with 3 to 5 percent down are your next option. Some lenders offer 3 percent down conventional loans, though they're less common than they used to be. You'll pay a higher interest rate and mortgage insurance, but it's still less than 10 or 20 percent down.

Another path is a gift from a family member. If someone gives you money for a down payment, most lenders will accept it as long as you document it in writing — a straightforward letter saying the money is a gift, not a loan you have to repay. The gift giver doesn't have to be a close relative; some programs accept gifts from employers or nonprofits too.

Some employers and nonprofits offer down payment information programs — money or grants that help you cover the down payment or closing costs. These are less common than they once were, but they still exist. Ask your employer's HR department or search your city or county website for "down payment information."

Frequently Asked Questions

Do I need a job to get a zero-down loan?

Yes, lenders need to see that you have income to pay the monthly mortgage. You need at least two years of job history, though it can be with different employers. If you're retired, self-employed, or receive disability or Social Security, you can use that income instead — bring documentation of it.

What if my credit score is very low?

FHA loans work with credit scores as low as 580, which is lower than most conventional loans accept. If your score is below 580, you may still may have access to for an FHA loan if you have a co-signer with better credit, or you could wait a few months while you pay down debt and improve your score. Some credit unions also have more flexible requirements.

Can I use a zero-down loan to buy a second home or investment property?

VA and USDA loans are for primary residences — the house you live in most of the time. FHA loans are also for primary residences. If you want to buy a rental property or second home, you'll need a conventional loan, which typically requires 15 to 25 percent down.

What if the house needs repairs after I buy it?

With no down payment, you have no savings cushion for repairs. A roof, furnace, or foundation problem can cost thousands. Before you buy, get a home inspection (usually $300 to $500) to know what you're getting into. If repairs are needed, you can ask the seller to fix them or lower the price before closing.

Can I refinance later to remove the mortgage insurance?

Yes, but only after you build equity. On an FHA loan, you can refinance to a conventional loan once you have 20 percent equity (you've paid down the loan or the house has risen in value). On a USDA loan, refinancing is harder because the annual insurance fee is built into the loan structure. Talk to your lender about your options a few years in.