Can I qualify for a zero down payment loan with no savings?

While it's possible to find loans with no down payment, lenders typically require evidence of financial stability. This may include a steady income, good credit history, and less debt. If you have no savings, you might still be able to meet the requirements through alternative means such as gift funds or seller concessions.

What are gift funds and can they replace savings for a down payment?

Gift funds are monetary gifts from family members or friends that can be used towards a down payment or closing costs. Not all lenders accept gift funds, so it's essential to check with your chosen lender before relying on them. Gifts must usually meet specific requirements, such as being sourced and documented properly.

Are there any programs specifically designed for people with no savings?

Some government-backed and specialized loan programs exist that are more flexible with down payment requirements and may consider applicants with less savings. These include the USDA Loan, VA Loan, and certain physician home loan programs. It's crucial to research these options and understand their eligibility criteria and limitations.

Can I get help with closing costs if I have no savings?

Closing costs are fees associated with purchasing a home, such as appraisal fees, title insurance, and attorney fees. Some lenders offer closing cost assistance for eligible borrowers. This can come in the form of grants, credits, or concessions from sellers. However, eligibility rules vary by lender and program.

What about earnest money deposit? Do I need it if I have no savings?

Earnest money is a deposit that shows a buyer's good faith intent to purchase a property. The amount varies depending on the region and property. Some sellers may accept alternative forms of earnest money, such as a letter of credit or certified funds from a relative. However, in most cases, you will need access to some funds for the earnest money deposit, although the exact amount can be negotiated with the seller.

Are there programs that offer help with inspections and appraisals?

Inspections and appraisals are crucial steps in the home-buying process. While they're not typically part of down payment or closing cost assistance, some organizations offer grants to help cover these expenses for eligible buyers. For example, the Federal Housing Administration (FHA) offers an FHA 203(k) Rehab Loan that includes funds for home repairs and renovations, which may cover inspection and appraisal costs as part of the project.

How do concessions and credits work in a zero-savings scenario?

Concessions and credits are funds provided by sellers or lenders to help offset some of the costs associated with purchasing a home. These can include closing cost assistance, seller concessions on repairs, or price reductions that effectively act as a lower down payment. However, eligibility and limitations vary by program and lender.

When do I receive reimbursement for earned concessions and credits?

Reimbursement timing depends on the specific program and lender's policies. Some programs may provide reimbursements at

homebuying

Can You Buy a House With Zero Savings

Justin Reynolds

June 17, 2026Updated Aug 28, 2026 3 min read

mortgages finance market-trends

Key Takeaways

Understand 0 down payment options
Learn about upfront costs and assistance stacking
Discover the best homebuying option for you

Skip ahead — run the numbers now

Down Payment Planner Affordability Simulator

Can You Buy a House With $0 Saved Right Now?

Find out about 0 down loans, closing costs, earnest money, DPA, gift funds, and backup steps to help you buy a home with no savings.

0 Down Loans

While saving for a down payment is traditionally required, some loans offer the opportunity to buy a house with $0 saved. These are called 0-down mortgages and may be subject to stricter eligibility requirements.

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Your situation

State

Programs and caps vary by state and county.

Annual household income

Target home price

Loan type

Credit score band

Occupation

I am a first-time homebuyer (no primary residence in the last 3 years)

Estimated assistance range

$28,000 – $38,500

About 8% to 11% of a $350,000 home in California

Most likely type

Forgivable second loan

A 0% second lien that disappears if you stay long enough.

Likely qualifies

Your profile lines up well with common DPA programs. Confirm with a lender or counselor.

This is an estimate, not a guarantee. Program rules, income limits, and funding change by location and over time.

See what stacks for you

Closing Costs

Besides the purchase price, closing costs associated with buying a home can include fees for appraisals, inspections, attorney reviews, and more. However, some programs offer help with these costs or allow them to be rolled into your mortgage.

Earnest Money

Earnest money is a deposit given to the seller as a show of good faith that you are serious about buying their home. The amount varies but can typically range from 1% to 3% of the purchase price. Some programs may cover this cost for eligible buyers.

Down Payment Assistance (DPA)

DPA programs offer financial assistance with the down payment and closing costs for qualified homebuyers. These programs are often available at the state or local level, so eligibility requirements may vary.

Gift Funds

In some cases, you can use gift funds from a relative or friend to cover your down payment and closing costs. However, lenders may have rules regarding the source of gift funds and the amount that can be used.

Backup Steps

If you find yourself unable to secure a 0-down mortgage or access DPA programs, don't despair! Consider alternative financing options like FHA loans, conventional mortgages with low down payment options, or rent-to-own agreements. Always consult with your lender or real estate professional for the best advice.

Try these free tools

All tools

Down Payment PlannerA simple month-by-month savings plan to hit your number.Affordability SimulatorSee the price range and monthly payment that fit your income.Real Affordability GuideWhat lenders approve vs. what you can actually live with.Cash to CloseEvery dollar you need on closing day, itemized.

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