How much do I need to put down on a house?
Less than you may think. Some home loans start with a much smaller down payment, and gift money from family can sometimes help. A loan officer shows you the payment with more down and with less, side by side.
What you get
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Less cash to start
Some loans start with a much smaller down payment.
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Gift money can count
Family can often help with the down payment.
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Mortgage insurance can come off
On some loans it can come off later. Your loan officer shows you which.
The numbers
An FHA example, at our posted rate.
Example: a $750,000 home with 3.5% down ($26,250) and a $723,750 loan. 30-year FHA.
- Years 1 to 30 $4,634 a month Principal and interest Rate 6.625% · APR 7.259%
Interest rate 6.625% fixed · APR 7.259% · 360 monthly payments of principal and interest at a fixed rate.
Taxes and insurance are not included, so the actual payment will be higher.
Example only, not a quote or an offer to lend.
The rate and APR are Home First Financial’s posted 30-year FHA rate as of Wednesday, November 11, 2026: 6.625% (7.259% APR), based on the purchase of a $750,000 single-family home or condo, primary residence, in California, with 3.5% down, a 740 credit score and 0 discount points.
The APR includes estimated lender fees and FHA mortgage insurance. Your rate, APR and payment depend on the loan amount, down payment, credit and property, and they can change without notice.
Payments shown are principal and interest only, with no property taxes, homeowners insurance, HOA dues or mortgage insurance. Not a commitment to lend. FHA loan amounts have county limits, and FHA charges mortgage insurance up front and monthly.
Does it fit you?
3 quick questions. No signup. No credit check.
Saving forever for a big down payment?
You may not need it. Some loans start much lower.
Wondering about mortgage insurance?
It often comes with a smaller down payment. On some loans it comes off later, and your loan officer shows you the payment both ways.
Family wants to help?
Gift money can often count toward your down payment.
What you’ll need
- Recent pay stubs or other proof of income
- Two months of bank statements
- A photo ID
- A rough idea of your price range
How does it go, start to finish?
Questions people ask
Which loans start with a small down payment?
A few kinds. Your loan officer checks which ones you qualify for.
- FHA loans. Government-insured, and often easier on credit.
- Conventional loans with a low down payment.
- HomeReady and Home Possible, conventional loans for buyers with moderate income.
- VA loans, for eligible veterans and service members.
What does a smaller down payment cost?
Usually mortgage insurance. It protects the lender, and it adds to your payment.
On a conventional loan, it can come off once you have enough equity. On an FHA loan with a small down payment, it usually stays unless you refinance. Your loan officer shows you the payment with it and without it.
Can family help?
Often, yes. On many loans, gift money from family can go toward the down payment. Talk to your loan officer before the money moves, so the paper trail is clean.
What is mortgage insurance?
It protects the lender when the down payment is small. It adds to your payment. On some loans it can come off later.
Is a smaller down payment a bad idea?
Not always. It can get you into a home sooner. It also means a bigger loan, and often mortgage insurance. Your loan officer shows you the payment with it and without it.
How much cash do I need to close?
Your down payment plus closing costs. Gift money or a seller credit can cover part of it. A loan officer adds it up in dollars before you make an offer, and your Loan Estimate lists every cost within three business days of applying.
Is an FHA loan only for first-time buyers?
No. FHA loans are for anyone buying a home to live in.
What are HomeReady and Home Possible?
Conventional loans from Fannie Mae and Freddie Mac for buyers with moderate income. They can start with a small down payment. Income limits apply.
Do you offer down payment assistance programs?
No. We don’t offer state or city down payment assistance programs. Gift money from family can help, and some loans start with a small down payment.
Does Home First Financial offer low down payment loans in California?
Yes. Home First Financial arranges FHA loans and conventional loans with a small down payment across California. Subject to qualification.
The fine print
Down payment, mortgage insurance and rate depend on the loan, your credit and the property. Subject to qualification. Not a commitment to lend.
Also called: FHA loans, or conventional loans like HomeReady and Home Possible.
Home First Financial is not affiliated with HUD, FHA, VA, USDA or any government agency.
Neutral sources:
Or maybe one of these is you
Talk to a loan officer
All of California. Our loan officers are licensed statewide, and most of a loan happens by phone and email.
The application takes about 15 minutes, on the secure site we use. Do what you can, and your loan officer calls to fill in the rest.
- Main line
- (714) 881-3383
- Office
- 12681 Newport Ave, TustinMeet us there by appointment
- After hours?
- Text or leave a message.