3% down payment loans are designed to offer home ownership opportunities to borrowers with good credit but who lack the ability or desire to make a down payment on a home. It provides an option for those who wish to invest their savings in assets other than their home.

This type of financing is popular among both first time home buyers and experienced home buyers and you can use 3% down payment loans for a purchase or a refinance. The fixed rate loan is also available for construction and home improvement of an owner occupied primary residence.

While you are not required to make a down payment, you must have 3% in the transaction. These funds are applied toward your closing costs and may come from your own funds, a gift from a relative, grant, or sale of assets you own.