Can I get a conventional loan with 3 percent down?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
Yes. Through Conventional 97, HomeReady, and Home Possible, qualifying buyers — often first-timers or those under income limits — can put just 3% down on a conventional loan.
You'll carry PMI until you reach 20% equity, then it can be removed. We'll confirm which 3%-down program fits and compare it to FHA's 3.5% option.
Yes, through 97% programs
Yes. The Conventional 97 program lets qualified buyers put just 3% down. It is designed mainly for first-time buyers with a credit score of 620 or higher.
That means a conventional loan can rival FHA's low down payment while letting you cancel mortgage insurance later.
The catch and the upside
With 3% down you will pay private mortgage insurance until you reach 20% equity, but then it falls away for good. Strong credit keeps that insurance affordable.
For good-credit buyers, 3% down conventional is often the smartest low-cash path. Reach out and we will run the numbers against FHA.