Can You Buy a House in Utah With No Money Down in 2026?

Yes, in specific situations, though it depends heavily on your eligibility for certain loan types or your ability to combine a low down payment loan with assistance programs. Here is exactly how zero down or close to zero down actually works in Utah right now.

VA Loans: True Zero Down

If you are a veteran, active duty service member, or eligible surviving spouse, a VA loan allows a true zero down payment purchase with no private mortgage insurance required. This remains the most straightforward path to buying with no money down in Utah.

USDA Loans: Zero Down for Eligible Areas

USDA loans also allow zero down payment, but only in designated rural and eligible suburban areas, which excludes most of the core Silicon Slopes corridor but does include parts of the county further from the urban center. Eligibility depends on both the property location and your household income.

Getting Close to Zero Without VA or USDA Eligibility

If you do not qualify for either of those programs, true zero down is not available through conventional or FHA loans, but you can get very close by combining a low down payment loan with assistance programs. An FHA loan requires 3.5 percent down, but Utah Housing Corporation's Score DPA program provides up to $15,000 toward that requirement at zero interest, no monthly payment. On a median-priced Utah County home, that can cover most or all of the required down payment out of pocket.

Utah County's Loan to Own Program

For qualifying buyers, Utah County's Loan to Own program offers up to $40,000 in down payment and closing cost assistance, which for many buyers is more than enough to cover the entire down payment requirement on a conventional or FHA loan, effectively getting them to the closing table with little to no cash out of pocket beyond earnest money.

What You Still Need Even With Zero Down

Even with a true zero down loan or fully covered down payment assistance, you will still generally need funds for closing costs, unless those are also covered through a seller concession or additional assistance, and most programs require a small minimum borrower contribution, often $500 to $1,000, along with completion of a homebuyer education course.

Is Zero Down a Good Idea

It depends on your situation. Zero down gets you into a home faster and preserves your savings, but it also means you start with no equity cushion, which matters if home values dip or if you need to sell shortly after buying. For buyers with stable income and a longer time horizon in the home, it is often a reasonable trade-off.

If you want to find out whether you qualify for a true zero down loan or a combination that gets you close to it, I would be glad to connect you with a lender who can walk through your specific eligibility.

Frequently Asked Questions

Can I buy a house in Utah with absolutely no down payment?

Yes, if you qualify for a VA loan or a USDA loan in an eligible area, both allow true zero down payment purchases.

What if I don't qualify for VA or USDA loans?

You can often get very close to zero out of pocket by combining a low down payment FHA or conventional loan with down payment assistance programs like Utah Housing Corporation's Score DPA or Utah County's Loan to Own.

Do I still need money for closing costs with a zero down loan?

Generally yes, unless those are also covered through seller concessions or additional assistance programs, so it is worth planning for this separately from the down payment itself.

Is buying with no money down a bad financial decision?

Not necessarily, though it does mean starting with less equity cushion, which is worth weighing against your specific timeline and financial stability.

Do zero down and low down payment programs require homebuyer education?

Most assistance programs do require a homebuyer education course, along with a small minimum borrower contribution in many cases.

If you want to know exactly what zero down or close to zero down options you qualify for, I would love to connect you with a trusted lender. Call or text me at 801-636-3609.