Coming up with a down payment for your first home may seem difficult but there are several ways to get that down payment. If you're going for an FHA loan you may not only need 3.5% of the value of the house. A conventional may need up to 20% but check with your loan officer on the type of loan and exactly how much you'll need to put down. Here are some ways to come up with a down payment.

How to Come Up With a Down Payment

#1. Down payment assistance programs.

There are numerous programs to help first-time buyers. These programs are available in just about every county and city across the country. There are requirements however for eligibility, credit history, and housing requirements but often times these down payment assistance programs can help with up to 3% of the purchase price of the home. This would leave you with just .5% needed for a down payment on an FHA loan.

#2. Sell something.

Often times selling something or having a garage sale with big-ticket items can really help you get the money you need for a down payment.

#3. Sell taxable investments.

Consider cashing in stocks, bonds, mutual funds or other taxable investments. It's better to cash out these than IRAs or 401(k)s that really will help in retirement. Plus, cashing out those investments can come with stiff penalties.

#4. Ask for help.

Many first-time homebuyers can receive a gift of up to $10,000 tax-free. This cannot be alone, however, because lenders don't want to see you take on any more debt in order to buy the house. You may be able to get help from friends or family.

#5. Ask your employer.

Many companies or universities and even state or local governments have specific programs to help their employees with down payments. Check with the human resources department and if you are applying for a new job you might ask your employer to include down payment assistance as part of your compensation package.

For more information and ways to save for a down payment for your first home feel free to give me a call at any time.