Lenders have been turning away from FHA loans and creating their own products to appeal to buyers who can’t make a 20 percent down payment.
NerdWallet broke down low down payment loan options. Fannie Mae, Freddie Mac, JPMorgan Chase, Wells Fargo all have 3 percent down payment programs available for borrowers with decent FICO scores. Quicken Loan even has a 1% Down program. All these plans require mortgage insurance.
Bank of America and Citibank each have 3 percent down payment programs without mortgage insurance requirements, but they charge higher mortgage interest rates.
Making a down payment of less than 20% on a home is a complicated financial decision, but if it’s something you’re considering, you have options.
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