How to Buy a Home for Zero Down
- 1). Ask lenders about any zero-down programs they have. Look in the yellow pages under "Banks," "Savings and Loans" or "Real Estate - Mortgage." Talk to the loan department of your financial institution or get a referral from a local real estate agent. You also may be able to find a mortgage online.
- 2). Contact the county housing department in your area. There may be some federally or locally insured/backed financing programs that have zero-down options.
- 3). Talk to your employer. If you are a police officer or teacher or belong to a large labor union, special financing assistance may be available to you through professional organizations.
- 4). Ask the owners of the home you're seeking if they are willing to carry the loan. To compensate for paying no money down, you may want to offer more than the asking price or pay a higher interest rate.
- 5). Have good credit. Typically, when a borrower comes in with a zero down payment, the risk of foreclosure is much greater, so the lender requires a satisfactory credit history. Check with your lender about program specifications.
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