While the most commonly quoted down payment is 20%, it is certainly not the only option! The reality is that 20% down is just not feasible for many buyers. There are several different loan programs available to buyers and each have their own required down payment. FHA, USDA, VA, Conventional… We typically hear about these most commonly-used loan programs, but how do they differ from one another?

Here is a very basic cheat sheet for you:

– Conventional: 20% down; but did you know that this loan allows a down payment as little as 5%? (That’s a $15,000 difference on a $100,000 home!)
– FHA: Requires a minimum of 3.5%
– USDA: $0 down, income-based and limits the borrower to buying in a rural area
– VA: $0 down, only available to military veterans

Of course, these are very top-level differences. For more specific questions, feel free to reach out to Andy or I and we can provide you with more details!