100% Financing - Zero Down

Due to recent changes in the mortgage markets 100% Financing is no longer available.

Please contact us at 1-800-414-5285 for the latest guidelines.

100% financing might be for you if you don't want to put any money down, but you can verify your income, you have good credit and you have good job stability. 

Most of our 100% financing programs are for one or two unit Owner Occupied Primary Residences.  Our 100% financing product line is fairly large and there have been frequent guideline changes given the current mortgage environment so please call us to see if we have a program that still meets your needs. We are a direct lender and underwrite, close and fund the loans ourselves, so we are very quick if you are in a hurry to close.

Our most popular 100% program used to be our 80/20 30 year fixed rate first mortgage with a 10 year interest only option that we closed in combination with a second mortgage or line of credit, but with all of the changes in the marketplace and with property values declining in many areas of the country the 100% loan to value second mortgage programs have been discontinued. There are, however, numerous 100% financing options still available with or without mortgage insurance if you are borrowing up to the conforming loan limit - currently $417,000.

The real good news if you are looking for a 100% loan is that private mortgage insurance (PMI) is now tax deductible for most borrowers and the "conforming loan limit" is about to be adjusted higher, possibly as high as $620,000 or $720,000+ in early 2008.

Why 100% Financing?

• You do not have to pay a hefty premium to do 100% mortgage financing.
• Private mortgage insurance may be tax deductible for you, so you may realize additional tax deductions that were not available in the past.
• You do not have to liquidate assets to come up with a down payment. 
• Since there is no down payment required you won't be eating into your savings and you wouldn't have to pay capital gains on any assets liquidated.
• If you go with an interest only option on the first mortgage, you can pay additional principal at any time and reduce your payments as you pay the loan down.  Some of our programs have a 10 year interest only option and when you pay extra principal the next month's payment is calculated at the new lower balance whether you pay $10 or $100,000 (or more) extra.  (We have had many clients use this strategy to have lower payments during the year and then they apply the tax refund they realized as a result of homeownership to the principal).
• In many cases, the property seller or builder can pay most, if not all of your closing costs allowing you to purchase a home with little out of pocket.

Recent Closed Loan Example of 30 year fixed rate 100% loan:

Purchase Price: $189,900
Mortgage: $189,900 at 5.875%
PMI: $172.49/month

APR: 7.123% - mortgage insurance increases APR.

Seller paid $5600 to cover borrower's closing costs, borrower had a 723 middle credit score. 

Call 1-800-414-5285 for more information