Low Down Payment Mortgages & Affordable Home Loans

TD Bank has several affordable mortgage programs with low down payment options—so whether you're a first-time home buyer or looking for your next home, a TD Bank Mortgage Loan Officer can help you find the right affordable home loan.

Explore our featured options with down payments as low as 3%

Our Affordable Mortgage options are designed to address challenges like having enough money for a down payment and closing costs.

TD Right Step Mortgage

TD Home Access Mortgage

  • $5,000 Lender Credit available
  • No borrower paid mortgage insurance
  • Available for many property types including condos, co-ops and manufactured housing

FNMA HomeReady®

  • Borrower-paid mortgage insurance† (reduced cost vs. other low down payment options)
  • No minimum contribution for single-family properties

Learn more about our featured loan options

Additional product features

  • Low down payment—as low as 3%
  • Flexible underwriting with a minimum credit score of 620
  • Down payment and closing costs may come from gifts, grants or a Community Second Mortgage
  • 1- to 4-family primary residences are eligible

Qualifications and requirements

  • Homebuyer education may be required for all borrowers
  • Income limits and/or geography requirements may apply
  • Minimum borrower contribution may apply
  • You are not required to be a first-time homebuyer

Discover other affordable home loan options

FHA Mortgage

  • 3.5% minimum down payment
  • No income limits
  • Maximum mortgage limit per county. See FHA Mortgage limits†
  • Mortgage Insurance Premium (MIP) applies; it can be less than standard Mortgage Insurance

VA Mortgage

  • No down payment required
  • No income limits
  • Available for active duty military, veterans and spouses who meet eligibility requirements
  • In lieu of Mortgage Insurance, funding fee required at closing

FNMA 97 Mortgage

  • 3% minimum down payment
  • No income limits
  • Must be a first-time homebuyer
  • Borrower-paid Mortgage Insurance may be required

FNMA RefiNow

  • Refinance your FNMA mortgage for up to 97% of your home's value
  • Income limits apply
  • High debt-to-income (DTI) ratios, up to 65%
  • No cash back at closing
  • Borrower-paid Mortgage Insurance may be required

Compare your affordable home loan options

If you're purchasing a home and looking for a down payment as low as 3%, our affordable mortgages can help.

TD Right Step Mortgage:
3% down, 30-year fixed rate

Compare your affordable home loan options item 1
Mortgage Term
30-year fixed-rate
Minimum Down Payment

1-unit properties: 3%

2-4-unit properties: 10%
Mortgage Insurance (MI)
No borrower paid insurance (lender paid MI)
Minimum Contribution From Homebuyer

1-unit properties: $500 of your own funds

2-unit properties: 3% of your own funds

3-4-unit properties: 5% of your own funds
Homebuyer Education
Required by a HUD-approved state program†

TD Home Access Mortgage:
3% down, 30-year fixed rate

Compare your affordable home loan options item 2
Mortgage Term
30-year fixed-rate
Minimum Down Payment

1-unit properties: 3%

2-unit properties: 5%

3-4-unit properties: 10%
Mortgage Insurance (MI)
No borrower paid insurance (lender paid MI)
Minimum Contribution From Homebuyer

1-unit properties: $500 of your own funds

2-unit properties: 3% of your own funds

3-4-unit properties: 5% of your own funds
Homebuyer Education
Required by a HUD-approved state program†

HomeReady®:
3% down, 30- or 15-year fixed rate

Compare your affordable home loan options item 3
Mortgage Term
30- or 15-year fixed-rate
Minimum Down Payment

1-unit properties: 3%

2-unit properties: 15%

3-4-unit properties: 25%
Mortgage Insurance (MI)
Affordable and cancelable monthly1
Minimum Contribution From Homebuyer

1-unit properties: 3%, funds can come from a gift

2-4-unit properties: 3% of your own funds2
Homebuyer Education
Required by a HUD-approved state program† for purchases only

FHA Mortgage:
3.5% down, 30-year fixed rate

Compare your affordable home loan options item 4
Mortgage Term
TD Bank offers 30-year fixed-rate
Minimum Down Payment
1-4-unit properties: 3.5%
Mortgage Insurance (MI)
Mortgage Insurance Premium (MIP) applies; it can be less than standard MI
Minimum Contribution From Homebuyer
3.5%, funds can come from a gift
Homebuyer Education
Not required

VA Mortgage:
No down payment, 30-year fixed rate

Compare your affordable home loan options item 5
Mortgage Term
30-year fixed rate
Minimum Down Payment
TD Bank does not require a down payment
Mortgage Insurance (MI)
In lieu of MI, funding fee required at closing
Minimum Contribution From Homebuyer
None
Homebuyer Education
Not required

FNMA 97 Mortgage:
First-time homebuyers only, 3% down, 30-year fixed rate

Compare your affordable home loan options item 6
Mortgage Term
30-year fixed-rate
Minimum Down Payment
1-unit properties: 3%
Mortgage Insurance (MI)
Borrower pays monthly, cancelable1
Minimum Contribution From Homebuyer
3%, can come from gift funds
Homebuyer Education
Not required
Note: Down payment requirements may vary for additional property types such as condos, co-ops and manufactured housing.

How to qualify for affordable home loan programs

Income limits for low down payment mortgages

The income limit for an affordable housing program is the maximum amount of income a household can earn to qualify for an affordable mortgage product. The specific figure is based on the city or county's Area Median Income (AMI). Each housing program varies in its specific income qualifications.

Community Second Mortgage and down payment programs

A Community Second Mortgage is a grant or loan that allows approved third parties to provide up to 105% of the home's value to cover the down payment and closing costs. Depending on the exact down payment assistance program, a Community Second Mortgage offers a variety of repayment options:

  • A 0% interest rate on the second mortgage
  • Repayment of the loan only (not interest) if/when the home is sold
  • Fixed installment payments on a set schedule
  • Debt forgiveness (a portion of the loan can be forgiven if the home remains occupied by the original owner for a determined number of years)

Homebuyer education for low down payment mortgages

Some low down payment and affordable mortgage loans require HUD-approved education classes or counseling for prospective homebuyers.† These private or group sessions provide valuable information and tools with topics like:

Explore home-buying tools, education and resources

Home loan repayment help and options

If you are struggling to make payments on your mortgage due to a job loss or other financial distress, TD Bank is here to help you prevent a foreclosure and find a solution which works for you and your situation.

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