Think you need 20% down to buy in Bellevue? You do not. Many Bellevue buyers purchase with far less, including options that start at 0% down if you qualify. You just need to understand which programs fit your situation, how gift funds work, and how to coordinate the details with your lender.
In this guide, you will compare the main down payment paths, see dollar examples at common Bellevue price points, learn basic eligibility and documentation rules, and get a simple plan to move forward with confidence. Let’s dive in.
Top down payment options
Conventional 3% options
Conventional programs let many buyers put as little as 3% down on a primary residence. Popular examples include Fannie Mae HomeReady and Freddie Mac Home Possible. If you put less than 20% down, you will pay private mortgage insurance (PMI) until you build enough equity.
These programs generally expect higher credit scores than government-backed loans, often in the 620–660+ range depending on the lender. You may also see income limits and a short homebuyer education course for some options. The trade-off is straightforward: lower upfront cash, but PMI adds to your monthly payment until you reach an equity threshold.
FHA 3.5% basics
The HUD’s FHA program allows a 3.5% minimum down payment for borrowers with a 580 or higher FICO score. FHA loans require mortgage insurance premiums, both upfront and annual, and the insurance typically lasts for many years. FHA is often a fit if your credit score is lower or you have limited cash reserves.
FHA permits gift funds from approved donors. You will need a gift letter and a paper trail to document the transfer and the donor’s relationship to you.
VA 0% financing
If you have qualifying military service, VA home loans often allow 0% down. You will need a valid Certificate of Eligibility. VA loans use a funding fee with certain exemptions, and you must plan to occupy the home as your primary residence.
USDA 0% financing
The USDA Rural Development loan program offers 100% financing for eligible properties and income-qualified buyers. Properties must be in eligible areas, and household income needs to meet program limits. This can be a strong path for buyers who want to minimize upfront cash and are open to homes in qualifying zones.
State and local assistance
Nebraska and local programs can help with down payment or closing costs. You will find a mix of forgivable grants, deferred-payment second mortgages, low-interest seconds, and matched savings. Many programs require homebuyer education and approved lenders. Availability and funding levels change, so confirm current rules before you write an offer.
Bellevue down payment math
Below are quick examples to show how down payment percentages translate to dollars. These are not price predictions, just simple math you can use to plan.
| Purchase price |
3% down |
3.5% (FHA) |
5% down |
20% down |
| $200,000 |
$6,000 |
$7,000 |
$10,000 |
$40,000 |
| $300,000 |
$9,000 |
$10,500 |
$15,000 |
$60,000 |
| $400,000 |
$12,000 |
$14,000 |
$20,000 |
$80,000 |
Keep in mind:
- Closing costs are separate. They often run 2–5% of the purchase price. The CFPB explains typical closing costs, and you may be able to cover part of them with assistance programs or seller concessions, depending on the loan.
- Earnest money is not extra. Your earnest money deposit is held in escrow and applied to your down payment at closing, as long as the deal closes.
Eligibility and documentation
Most low-down-payment paths share a few common rules. Lenders review credit score, debt-to-income ratio, and income or purchase price limits where applicable. Most programs require you to occupy the home as your primary residence.
Be ready to document your funds and your story. Expect:
- Recent bank statements. Lenders look for “seasoned” funds and may ask you to explain large deposits.
- Earnest money proof. Provide a copy of the escrow deposit and the source if requested.
- No personal loans for down payment. Many programs limit borrowed funds for down payment, so ask your lender before moving money.
- Asset sales or retirement funds. These can be acceptable sources if you document them. Your lender will provide specific steps.
Using gift funds the right way
Gift funds can be a great solution when paired with FHA and many conventional programs.
- Who can gift. Many programs allow gifts from immediate family members or approved nonprofits. Gifts from the seller are not allowed for down payment. Sellers can sometimes help with closing costs, subject to program limits.
- Gift letter basics. The letter must list the donor’s name, relationship, amount, a statement that no repayment is expected, and include signatures and contact details. Lenders often provide a template.
- Timing matters. Transfer the gift early so it appears on your bank statements. Last-minute cash deposits without a paper trail often cause delays.
- Paper trail. Keep donor bank statements and transfer proof, such as a wire confirmation or a canceled check.
Finding Nebraska DPAs
Down payment assistance changes over time, so verify the latest details before you choose a lender or write an offer.
- Start with the Nebraska state housing finance agency website for statewide offerings and approved lender lists.
- Check Sarpy County and City of Bellevue community development pages for local homeownership assistance.
- Contact local HUD-approved housing counseling agencies and nonprofits to learn about education requirements and program availability.
- Confirm the approved lender list early. Many DPAs require you to use a participating lender.
Key questions to ask about any DPA:
- Is it a grant that can be forgiven, or a second mortgage that must be repaid when you sell or refinance?
- Are there income or property location limits?
- Do you need a homebuyer education course, and who is approved to provide it?
- How are interest rates impacted, and does the DPA add lender overlays?
- Is there limited funding or a reservation deadline you must meet?
Lender coordination and timeline
Getting your lender and any DPA administrator aligned early can save you weeks.
Early steps
- Get a full pre-approval, not just a quick pre-qualification. This confirms your price range and eligible programs.
- Ask if your lender participates in Nebraska or local Sarpy County DPAs and whether they will handle the DPA paperwork.
- If using gift funds, have your donor lined up and collect the needed documentation upfront.
What to plan for
- Approved lender lists. Many DPAs only work with participating lenders. Confirm this before you sign a purchase agreement.
- DPA timing. Some programs require reservations or approvals before underwriting. Missing a step can delay or derail closing.
- Appraisal and contract terms. The appraisal must support the price. Check limits on seller concessions and confirm repair requests fit program rules.
- Clear communication. Make your loan officer the point person for DPA paperwork and keep your agent, title company, and the seller updated on milestones.
Typical timeline
- Pre-approval: 1 to 7 days, depending on how fast you provide documents.
- DPA reservation or application: 1 to 4 weeks, depending on the program.
- Underwriting and appraisal: 2 to 4 weeks, possibly longer when DPA reviews are needed.
- Closing: scheduled after clear to close and three-party coordination among lender, title, and any DPA administrator.
Your next steps
- Map your path. Decide whether conventional 3% down, FHA 3.5% down, VA, USDA, or a DPA combination best fits your goals, credit, and timeline.
- Get pre-approved early. This defines your price range and clarifies which programs and DPAs you can use.
- Prepare funds and documents. Season your down payment money, line up gift documentation if needed, and keep your paper trail clean.
- Confirm local options. If a DPA is part of your plan, verify lender participation, funding, timelines, and education requirements before you write an offer.
When you are ready to explore Bellevue homes, we will help you connect with lenders who know Nebraska programs, structure your offer to fit program rules, and keep your timeline on track. Reach out to the Ralph Marasco Real Estate Group to get started.
FAQs
Can I buy in Bellevue with 0% down?
- Possibly. VA loans for eligible veterans and USDA loans for income-qualified buyers in eligible areas can offer 0% down. Confirm VA eligibility and check USDA area and income rules.
Do I need mortgage insurance with a low down payment?
- Usually. FHA loans require mortgage insurance. Conventional loans under 20% down have PMI until you reach sufficient equity. VA loans do not have monthly MIP but include a funding fee unless exempt.
Can I use gift money for my down payment?
- Often yes. Many loans allow gifts from approved donors with a gift letter and full documentation. Coordinate timing so the funds are seasoned on your statements.
What if I am short on cash but otherwise qualified?
- Explore state or local DPAs, gift funds, and USDA or VA if eligible. Many assistance programs require homebuyer education and approved lenders.
Are seller-paid closing costs the same as down payment assistance?
- No. Seller concessions usually cover closing costs, not the down payment. Loan programs also cap how much a seller can contribute.
