Question 1

What is a 1% down conventional loan?

Accepted Answer

A 1% down conventional option lets qualified buyers bring 1% down while the program provides additional funds to reach a higher effective down payment at closing (often 3%). It can help you buy sooner with less cash upfront. Estimate payments with our [mortgage calculator](/calculators/mortgage).

Question 2

Who typically qualifies for the 1% down program?

Accepted Answer

Eligibility depends on credit, income, occupancy (usually primary residence), and property guidelines. It’s often targeted toward first-time or moderate-income buyers. The quickest way to confirm is to [apply online](/app).

Question 3

Will I have PMI with 1% down?

Accepted Answer

Most low-down-payment conventional loans require PMI until you reach sufficient equity (often 20%). PMI can usually be removed once you meet the equity and any required appraisal guidelines.

Question 4

Can I use gift funds for down payment or closing costs?

Accepted Answer

Often, yes—gift funds may be allowed depending on the program rules and your overall file. We’ll confirm acceptable sources when you [apply online](/app).

Question 5

Is it better to use 1% down or wait and save 5%–20%?

Accepted Answer

Buying sooner can mean building equity earlier, but you may carry PMI and a higher loan balance. If you wait, you may reduce PMI or avoid it entirely. Compare both timelines with our [mortgage calculator](/calculators/mortgage).

Question 6

Will my rate be higher with a very low down payment?

Accepted Answer

It can be, depending on credit, PMI, and overall risk—market conditions also matter. Check general trends on our [mortgage rates](/mortgage-rates) page and get a personalized quote by starting an [application](/app).

1% Conventional

Make homeownership closer than ever — with just 1% down, you can unlock the keys and step into your new future.

Only 1% Down

Lender Covers 2%

Conventional Advantage

Faster Path to Ownership

Keep More Cash on Hand

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