Need $$ for Downpayment? Think About . . . (1 of 4)

Option 1: FHA Loans

Although there isn’t a "No Money Down" option yet, the FHA loan is by far one of the best alternatives for people who want to buy a home and don’t have much money to put down. With an FHA loan, you could put down as little as 3%. Plus, FHA loans are easier to qualify for. Now, 3% may seem like a lot to come up with, but many people find that when they put their minds to it, 3% is actually possible. While you can’t "borrow" the 3%, you can get a "gift" from a family member, borrow from your 401k, or sell some "stuff" you have lying around. FHA loans do have requirements and restrictions. For example, not all townhomes and condos qualify, and there is a maximum loan amount you can get. But if you’ve been dreaming of a new home and think you might be able to "scrounge up" 3%, this is a great way to go.