You may need less cash than you think. Some qualified buyers can purchase with zero down, while others can use a conventional loan with as little as 3% down or an FHA loan with 3.5% down. Down payment assistance may help reduce the amount you need from savings.
The right answer depends on your purchase price, financing, closing costs and eligibility for assistance. You do not always need a 20% down payment to buy a home in Broward County.
What cash should I plan for?
Your down payment is only one part of your budget. Plan for these expenses:
- Down payment: Your initial contribution toward the purchase price.
- Closing costs and prepaid expenses: Lender fees, title and settlement charges, recording costs, prepaid insurance, taxes and escrow deposits. The Consumer Financial Protection Bureau suggests a general closing-cost planning range of 2%–5% of the purchase price, excluding your down payment. Your actual quote may differ.
- Expenses before closing: Inspections, appraisal fees and application charges may need to be paid earlier. Some are included in your overall closing-cost estimate, so avoid counting them twice.
- Money after closing: Moving, immediate repairs and a comfortable emergency cushion. A lender may also require reserves that remain in your account.
What about the escrow deposit? Your earnest money deposit is generally credited toward your purchase at closing. It is not an additional down payment, but you need access to those funds when the contract requires them.
How much would I need for a $400,000 home?
Here is an illustration using $8,000–$20,000 for closing costs and prepaids. These are planning examples, not loan quotes or an indication that a particular home qualifies.
| Financing option | Down payment | Combined planning amount* |
|---|---|---|
| Eligible VA loan, 0% down | $0 | $8,000–$20,000 |
| Eligible conventional loan, 3% down | $12,000 | $20,000–$32,000 |
| FHA loan, 3.5% down | $14,000 | $22,000–$34,000 |
| Conventional loan, 5% down | $20,000 | $28,000–$40,000 |
| Conventional loan, 20% down | $80,000 | $88,000–$100,000 |
*Before assistance, seller or lender credits, and deposits already paid. Excludes moving costs, reserves and any loan-specific charges not captured by this estimate. Financed mortgage insurance or funding fees can increase the loan balance. Final cash to close comes from your lender and closing agent.
Can I really buy with zero down?
VA loans: an option for eligible military buyers
Eligible veterans, service members and certain surviving spouses may qualify for a VA-backed loan with no down payment and no monthly mortgage insurance. Zero down generally assumes sufficient entitlement and a purchase price supported by the appraisal; the lender must confirm your eligibility. A VA funding fee may apply unless you qualify for an exemption, and it can generally be financed.
Zero down does not automatically mean zero cash out of pocket. Closing costs and inspection expenses still matter. Approved assistance or negotiated credits may reduce what you pay, depending on the loan rules.
USDA loans: location matters
USDA financing offers no-down-payment opportunities for income-qualified buyers purchasing in eligible rural areas. It is not an option for every address. Before considering USDA for a Broward property, have a lender verify the exact address on the USDA eligibility map and confirm income eligibility.
Assistance may cover a required down payment
Some buyers use an approved assistance program with a low-down-payment mortgage to cover part or all of the required down payment. The mortgage still has a down payment requirement; the assistance supplies some of the funds. Your lender must verify permitted combinations, minimum personal contributions and remaining closing expenses.
Can I buy with a 3% down conventional loan?
Yes, eligible buyers can. On a $400,000 purchase, 3% is $12,000. Options worth discussing with your lender include:
- HomeReady®: Fannie Mae’s low-down-payment option for eligible borrowers, with qualifying income generally limited to 80% of area median income.
- Home Possible®: Freddie Mac’s option with as little as 3% down and an income limit of 80% of area median income.
- Standard 97% financing: Fannie Mae offers an eligible 3%-down purchase option with no program income limit; at least one borrower must be a first-time homebuyer. Other loan and property requirements apply.
Conventional loans with less than 20% down generally require private mortgage insurance. Ask your lender to compare the full monthly payment, interest rate, insurance and closing costs against FHA financing.
What about an FHA loan with 3.5% down?
FHA financing allows down payments as low as 3.5% for eligible borrowers. HUD permits that minimum with credit scores of 580 or higher, although lenders may apply stricter standards. On a $400,000 home, that is $14,000 before closing costs and credits. FHA loans include upfront and ongoing mortgage insurance, which should be included in your comparison.
Which down payment assistance programs should I explore?
1. Florida Hometown Heroes
The 2026 program serves specified eligible occupations and military categories, not every Florida worker. Eligible groups include healthcare workers, school staff, first responders, public safety and court employees, childcare workers, qualifying military members and eligible employed veterans.
Qualified buyers may receive up to 5% of the first mortgage amount, with assistance from $10,000 up to $35,000. It is a 0% deferred second mortgage, not a forgivable grant. Repayment is triggered by events such as selling, refinancing, transferring the deed or no longer occupying the home as a primary residence. Income, first-time buyer rules or applicable exceptions, employment and funding must be verified by a participating lender.
2. Florida Assist
Florida Housing’s FL Assist offers eligible buyers up to $10,000 through a 0% deferred second mortgage. It is not forgivable and generally becomes due upon sale, refinancing, transfer, payoff of the first mortgage or ending primary occupancy. It must accompany an eligible Florida Housing first mortgage; it is not stand-alone assistance.
3. Florida Housing HFA PLUS
Eligible buyers using specified Florida Housing conventional mortgages may receive assistance equal to 3, 4 or 5 percent of the loan amount. This second mortgage is forgiven at 20% per year over five years when program conditions are met. Ask the participating lender about early sale or refinance consequences and compare the associated first-mortgage rate and total cost.
4. Broward County Affordable Housing Trust Fund assistance
Broward County currently lists assistance of up to $100,000 for eligible buyers earning below 120% of area median income. Its published maximum purchase price is $679,324. Assistance is a 0% deferred-payment second mortgage with a 15-year term.
This is generally not a zero-personal-contribution program: the County lists a required buyer contribution of 3% of the price, with an exception for VA loans. Funding is allocated by commission district, and availability must be confirmed. Homebuyer education is required; your lender applies on your behalf. The County advises allowing 5–6 weeks for income certification and funding after receiving the lender’s package.
Ask about city-specific programs as well. Funding, property boundaries, income limits and repayment terms vary. Do not assume multiple assistance programs can be combined.
What else can reduce the cash I need?
- Seller credits: A seller may agree to pay eligible closing expenses, subject to loan limits. These credits generally cannot replace your required down payment.
- Lender credits: These may reduce upfront costs, often in exchange for a higher interest rate. Compare both the upfront savings and long-term expense.
- Eligible gift funds: Some loans allow documented gifts from approved donors. Have your lender confirm the donor and documentation rules before moving money.
- A different price point or property: A lower price can reduce your down payment and monthly costs. For condos, confirm the building’s financing eligibility, association requirements and any required reserves early.
How do I find out what I personally need?
Start with a lender review of your income, credit, debts and available savings. Request a written comparison of the loans and assistance programs you qualify for. Include property taxes, homeowners and flood insurance where applicable, mortgage insurance and association fees in the monthly budget, not just principal and interest.
Then we can focus your home search on properties that fit both your financing and your comfort level. A smaller down payment can help you buy sooner, but keeping the payment manageable and retaining savings matter too.
Program information reviewed October 24, 2026. Eligibility, funding, rates and terms can change. Examples are for education and are not a loan offer, approval or guarantee of assistance. A licensed lender must confirm current requirements and your individual cash to close. Illustrative AI-generated imagery; no specific property is offered for sale.