As far as down payments, there are a few options out there ---the VA and the Navy's credit union offer 0% down payment mortgages. The US Department of Agriculture (USDA) also has 0% mortgages to properties classified as eligible---you might think these are just for farms, but there are homes in pockets of suburban areas as well (your Realtor can help you find eligible properties). For these loans though, you have to meet the income eligibility requirements. If you are a good credit risk but are just trying to hold on to your savings, you can also investigate HomePath properties---these are foreclosed homes owned by Fannie Mae. They are willing to accept lower down payments and may not require mortgage insurance (which is needed when you don't have a 20% down payment). FHA loans and some conventional mortgages can be obtained with low down payments (3.5 to 5%), but keep in mind that you need good credit (typically a credit score of 640 or better) and demonstrate an ability to handle a bigger mortgage payment.
There will always be closing costs, but you may be able to negotiate something called "Seller's assist." Homeowners who need to sell quickly may offer a seller's assist of, for example, 3% of the final sale price ($6,000 on a $200,000 house). In doing so, the sellers are essentially agreeing to give you back $6000 and only pocketing $194,000 themselves. The main hurdle is that you'll be trying to get a mortgage for the full $200K, so your lender is going to need the house to appraise at $200,000 or more---if the appraiser comes back and says the house is only worth $195K, your seller's assist is going to go down the drain.
I wish you well,
Laura Altobelli, Realtor
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