Zero Down Financing

Low to Zero Down Mortgage Financing in Gardner, Kansas

In recent years FHA seemed to be the only source for a home buyer to obtain a mortgage with a low down payment.

Typically when a Gardner home buyer bought a home and used a traditional lender, they required 20% down. If you didn't have 20%, the lender would require insurance and numerous extra documents to sign. Sometimes this insurance could be $200 or more a month depending on the size of the mortgage.

FHA stepped in and started offering a mortgage product that had looser underwriting requirements like lower credit scores to home buyers and also required as little as a 3.5% down payment.

Over the years a few non-for profit organizations offered services to home buyers that allowed them to get into a home with zero down through home buyer grants. One such grant was the "American Dream Program". Those kind of programs and grants dried up when the housing market fell apart last decade,

So what is a Gardner home buyer to do if they want to buy a home and they don't have 20% down?

Here are the low down mortgage options:

1) Fannie Mae's My Community Mortgage Program - This mortgage program is designed for moderate income home buyers who have a minimum credit score of 680. The home buyer is required to put a minimum of 3% down and attend a first time home buyer class.

2) VA Mortgage Loan - This mortgage program is designed for current and former members of the military. There is no down payment and no PMI insurance required and also no income limits.

3) Freddie Mac's Home Possible Program - Although the program requires a 5% down payment, the whole down payment can be a gift. The program does have income limitations, but they can sometimes be waived.

4) Fannie Mae HomePath Mortgage - This mortgage loan is offered on certain Fannie Mae foreclosures by Fannie Mae. The minimum down payment is 3%. This loan works great on foreclosures that will not pass appraisal requirements on a traditional mortgage loan.

5) FHA Mortgage Financing - FHA offers a mortgage product to home buyers that has looser underwriting restrictions than a traditional mortgage and only a 3.5% down payment.

6) Johnson County First Time Homebuyer's Assistance - This program is designed for low to moderate income Johnson County residents who have been employed the past two years in Johnson County, Kansas with the purchase of a home. The home buyer. The program will help in the down payment and closing cost of up to $10,000. There are restrictions and currently the program is out of funds.

7) American Dream Down Payment Assistance Initiative - This is a loan program aiding in the assistance of no down payment. This program is currently not available in Gardner, KS.

8) The Teacher Next Door Program - This mortgage program is designed for full-time teachers to buy HUD homes in qualified areas at a 50% discount. The teacher could use a FHA 203K loan to assist in financing if the home needs work.

8) Zero Down USDA Rural Development Mortgage - This mortgage loan will allow the home buyer to obtain a home in Gardner, KS. with zero down. Closing cost can be wrapped into the loan or paid by the seller.  Meaning that a home buyer could get into a home with no money out of their pocket. There are income limits and property restrictions on this mortgage loan. Here is the bad news. This mortgage loan will not be available in Gardner after October 30th, meaning that if a home buyer wanted to take advantage of this loan they will need to apply for it by September 15th.

Common Question (Click links for answers):

If you would like to buy a home in Gardner with zero down. your time is limited

I applied for a mortgage and the mortgage lender found some derogatory credit on my credit report. I had a couple collections, a couple unknown accounts and a couple accounts that are reporting incorrectly. What do I do if I want to buy a home in Gardner with the USDA RD zero down mortgage loan before the time runs out?

I'm very busy and do not have time to start the mortgage process by taking off work and going to a local bank for financing?

Should I break my lease now and buy a Gardner home with USDA Rural Development funds or wait until next spring when my lease is up? It will cost me $2500 to break my lease.


Take 10 minutes out of your week and see if you qualify, call (913) 712-9313 today!

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