Mortgages
Best Low Down Payment Mortgages
Saving 20% down can take a decade that the housing market will not wait for. These are the lenders we rank highest for buying with 3.5%, 3%, or even nothing down.
Top matches
Summitview VA Loan
- ✓VA purchase loans with zero down payment
- ✓VA streamline refinance (IRRRL) with minimal documentation
- ✓No private mortgage insurance at any down payment level
- ✓Loan specialists trained on military pay, PCS moves, and entitlements
- ✗VA funding fee applies unless you have an exemption
Hearthstone 30-Year Fixed
- ✓Down payments from 3% on conventional and 3.5% on FHA
- ✓First-time buyer credit of up to $2,500 toward closing costs
- ✓FHA loans accepted down to a 580 credit score
- ✓Rate lock of 60 days free, with a float-down if rates drop
- ✗Origination fee of 0.5% on most loans
Oakfield HomeStart Mortgage
- ✓Fully online application with approval decisions in 24 hours
- ✓3% down conventional program for first-time buyers
- ✓No lender origination fee
- ✓Document upload and e-closing handled in one portal
- ✗No loan officers or branches if you want in-person guidance
How we ranked these: We ranked every low-down-payment-tagged lender in our database by our overall methodology score, which weighs rates and fees, approachability, and process.
Last updated June 2026
Questions, answered
What are my options below 20% down?
Conventional 97 loans take 3% down, FHA takes 3.5% with more flexible credit, and VA and USDA loans go to zero down for eligible borrowers. Each carries some form of mortgage insurance or funding fee. That is the price of the smaller down payment.
How much does mortgage insurance add to the payment?
Typically 0.3% to 1.5% of the loan amount per year depending on your down payment and credit. Roughly $75 to $375 a month on a $300,000 loan. Conventional PMI drops off once you reach 20% equity. FHA insurance usually sticks for the life of the loan unless you refinance.
Is it better to wait and save a bigger down payment?
Your call. Depends on your market and rent. If home prices and rents are rising faster than you can save, buying sooner with a smaller down payment often wins despite the insurance cost. Run both scenarios with real numbers instead of defaulting to the 20% rule.