Usually the only way for a home buyer to get a $0 down payment loan would be if they had served in the military and had VA eligibility. Now, USDA offers the only $0 down payment program available to borrowers that have not served. USDA loan program offers financing to help low to moderate income families with purchase of a home in "rural" areas. "Rural" is largely liberal in term, as it can include small towns, suburbs and exurbs areas outside of major cities. Metropolitan areas are generally excluded from USDA loan programs, but pockets of opportunities exist in suburbs. Eligibility is a simple matter of location of home and income of the buyer.
It's a great way to own a home with less money out of pocket, a competitive rate 30 year fixed mortgage, and no private mortgage insurance (more savings!!). Again, it's not just for areas that are rural. For example, a current listing in Pearland area (3314 Spindletop Ct, in Southfork subdivision) is located in an area that is USDA eligible. The Southfork community sits right off 288 and County Rd 59, is surrounded by new eateries and stores such as Chick Fil A and Costco. So if you are looking in an area outside of the city limits, it's possible that you could run into an area that is eligible for this special financing.
For more info, or to see if the area you are interested in may qualify, give me a call (832)233-7215. USDA financing