The US Government started various programs to help Veteran, Navy Federals and families with low to medium income. The Navy Federals are offered 100% Home Loan Financing by Navy Federal Credit Union. Navy Federal Credit Union offers this loan to their officers provided they are first time buyers. Navy Federals credit union doesn’t charge any Mortgage to help their member buy a home with no money down payment. Although the total loan amount which they can receive is about 424,100 USD, which can vary from state to state. There are also jumbo loans up to USD 1 million available for jumbo financing.
So what can you do if you didn’t qualify for buying a house with no money down payment?
The answer is Federal Housing Administration (FHA) Loans, FHA loans can help you to buy a house with zero money down payment if you apply for a Gift Loans. This means that if you have a friend, family or relative to pay for your house down payment. FHA has been helping people to buy their own houses by 1935. If you don’t qualify for zero money down payment, there is also an option to apply for Home Loan at a really low down payment as low as 3.5%. FHA is backed by the Government and it has more flexible qualifying criteria as compared to conventional home loans. The down payment for the conventional loan is about 20% which can be really high for people to afford. Due to these advantages, FHA loans are the most popular and convenient choice for the first time home buyers in America. There is also one more way to get home loans at a lower down payment which is the conventional 97% LTV mortgage which is provided by various lenders in the US. The main advantage of 97% LTV Mortgage is that it has even lower down payment at just 3%. These are various methods which a first time home buyer can opt for to save money.