down payment & Closing costs

Some loan programs such as USDA and VA allow borrowers to purchase a home with no money down. Others, however, will require a downpayment. Conventional loans typically require 5% down, and FHA loans require 3.5% down. The type of loan and the price of the house will determine the amount needed for the downpayment. 

Borrowers will also have to pay closing costs in addition to the down payment. Closing costs are fees associated with processing the loan and are paid to your lender when closing on your loan. They include attorney, appraisal, and inspection fees. Closing costs can range from 2% to 6% of the home's value.