There are many programs available that help you with your down payments. These programs are called Down Payment Assistant programs. Many cities also have grant money available if you meet the specific guidelines.

FHA insured loans only require 3% down payment and are very flexible about the source of your 3% down payment. Some FHA lenders will allow grant programs for the 3% down.

A gift of funds from a family member can often be used for the down payment. Both the borrower and the family member must provide evidence that the funds are a gift and no repayment is required. They must also show that the family member had the funds to give and they were not borrowed.

Saving for a downpayment may be unnecessary with the many loan programs being offered today. However, a downpayment may save you money in the long run because lenders associate higher risks to borrowers that have little equity in their home. The lender usually sets rates higher as the loan to value increases or they require PMI which is costly. So, a having a downpayment may mean more money upfront but may save you thousands of dollars in the long run.

There are many different strategies you can follow to save money. A simple one to start with is to shop around for insurance or some other monthly bill. Try and cut down on those monthly expenses then whatever money you would be saving by the changes you make put into a savings account. A similar plan can be used when you get a raise. What ever the difference is increase is in your paycheck, have automatically deposited into a different savings account.

You can use up to $10,000 from an IRA for a downpayment penalty free or most employers will allow you to borrow against a 401k plan if you do not have the necessary funds to put down on a mortgage but you may not need any money down if you have a satisfactory credit history or rent history.
Please call to discuss your options.

If you have never purchased a home before you can withdraw your 401k for the down-payment. You will not be penalized.