Down payment
Zero on many USDA and VA files. 3.5% FHA. 3% on some conventional first-time products. The program and the house decide this, not a round number you picked in January.
The money
Down payment and cash to close
One number. Not a down payment from a blog, closing costs from a calculator, and earnest money from your agent — all added twice.
The pieces
Cash to close is down payment plus closing costs and prepaids, minus earnest money already on deposit, minus seller credits, minus gift funds that have landed, minus assistance like OHFA. We give you that figure on a worksheet and again on the Closing Disclosure before you wire anything.
Earnest money
It shows the seller you are serious. It sits in escrow. On a closed deal it is credited back toward what you owe. The amount is a market custom, not a federal rule — your agent will propose a number, we will confirm it does not strand you short at the table.
Closing costs and prepaids
Lender fees, title, recording, prepaid taxes and insurance. Seller credits and lender credits can offset a lot of this. Ask us before you assume you need a second pile of cash.
Assistance and gifts
Ohio buyers may stack OHFA. Family gifts work when we paper the trail. WV and PA use other programs when they exist — we check, we do not invent them.
Gift funds without the panic
A parent can help. A paper bag of cash cannot. We need a gift letter, the donor’s statement showing the money leave, and yours showing it arrive. Do this two weeks before closing, not the morning of the wire. If the donor is also going on the loan or the title, tell us — that is a different structure.
Questions
- Is earnest money extra on top of down payment?
- Usually it applies toward your cash to close. It is not a third pile of money if the deal closes. If the deal dies under the contract terms, the contract says who keeps it.
- Can the seller pay my closing costs?
- Often yes, inside program limits. We structure the offer so the credit is usable, not just written on a line nobody can fund.
- Do I need 20% down?
- No. USDA and VA can be zero. FHA is typically 3.5%. Conventional first-time products can be 3%. Twenty percent only buys you out of monthly mortgage insurance on conventional.
Keep reading
More first-time guides
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Before you tour
Get ready to buy
What “first-time buyer” means, how debt-to-income works, and what to stop doing 60 days out.
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Paperwork
Documents and where to find them
Paystubs, bank PDFs, tax transcripts, rent history, and how to pull each one without a scavenger hunt.
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The payment we count
Student loans and a mortgage
Deferred, income-driven, parent PLUS, and why paying them off mid-file can backfire.
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Income that is not a W-2
Self-employed and 1099 buyers
Two years of returns, add-backs, a current P&L, and why a brand-new LLC does not qualify you overnight.
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Two names
Buying with a partner or parent
Who goes on the loan, who goes on title, occupancy rules, and when a co-signer actually helps.
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The house type
Condos, manufactured, well and septic
Warrantable condos, titled manufactured homes, private well, and septic — what kills a file before the appraisal.
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House hack
Owner-occupied 2–4 units
Live in one unit, rent the others. How FHA and conventional treat rental income on a first purchase.
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Build or buy
New construction vs resale
Builder contracts, rate locks that expire, specs that change, and why a resale file is a different clock.
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The stretch
From offer to keys
Inspections, appraisals, insurance, underwriting conditions, and closing day in this market.
Start here
Get a cash-to-close estimate
Call (740) 314-5324 with a target price. We will run the real number, not a national average.