Can You Really Buy a House in New England with No Money Down?

Buying a home in New England no money down

Buying a home without a down payment may seem impossible, but there are legitimate ways to achieve it. With various zero-down mortgage programs, grants, and special financing options, homeownership is more accessible than you might think.

What Mortgage Programs Offer Zero-Down Financing?

Certain mortgage programs allow eligible buyers to purchase a home with no money down, including:

VA Loans – Available to veterans, active military members, and qualifying spouses, VA loans require no down payment and offer competitive interest rates.
USDA Loans – Designed for rural and suburban homebuyers, USDA loans offer 100% financing with no money down for eligible properties.
FHA Loans with Down Payment Assistance – While FHA loans typically require a 3.5% down payment, various state and local programs provide grants or forgivable loans to cover it.

What First-Time Homebuyer Grants Help Cover a Down Payment?

New England offers numerous first-time homebuyer programs that can eliminate or reduce the need for a down payment, including:

MassHousing Down Payment Assistance (Massachusetts)
New Hampshire Housing Homebuyer Assistance
MaineHousing First Home Loan Program
Rhode Island Housing FirstHomes
Connecticut Housing Finance Authority (CHFA) Programs
Vermont Housing Finance Agency (VHFA) Loans

Can Seller Concessions or Gift Funds Help?

If you don’t qualify for a zero-down mortgage, you can still reduce your out-of-pocket costs by:

Negotiating seller concessions to cover closing costs.
Using gift funds from family or employer homebuyer programs.

What Credit Score Do You Need for Zero-Down Home Loans?

Credit requirements vary by loan type:

VA Loans: No official minimum, but most lenders require 580-620.
USDA Loans: Typically 640 or higher.
FHA Loans with Assistance: As low as 500 with a 10% down payment or 580 with assistance.

Is Buying a Home with No Money Down Right for You?

While buying a home with no money down is possible, it’s essential to consider factors like mortgage insurance, interest rates, and long-term affordability. Speak with a lender to explore your best options.

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