If you’re considering 0 down home loans, you may have just begun your research into obtaining a home mortgage, or you have bad credit and low savings and you’re desperate, or ironically, you’re rich and you’re looking to invest in real estate without liquidating your assets. If you have just begun your research, you’re probably wondering how reasons for seeking 0 down home loans involve such paradoxical motivations. In another post I will discuss the wealthy origins of 0 down home loans schemes, but for now I want to dispel the notion of these programs as a means to get rich and address the reality and practicality of no money down mortgages for the average home buyer.

Is it really practical or wise to seek home loans with 0 down? Let’s find out.

Use this Table of Contents to browse 0 Down Home Loans with ease:

• What Are 0 Down Home Loans?
• The Two Main Methods to Obtain Zero Down Home Loans
• Private Mortgage Insurance and High Interest Rates
• Piggyback Loans or The 80 20 Mortgage (80/20 Loans)
• How 0 Down Home Loans Have Changed
• Why Most People Shouldn’t Seek 0 Down Home Loans

What Are 0 Down Home Loans?

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0 down home loans, also known as no money down mortgages or zero down home loans, are literally that: mortgages that don’t require a down payment. But as you’ll come to understand, this isn’t necessarily something that should instill exuberance or even reasonable hope. 0 down home financing was a key player in the subprime lending crisis. At one point during the crisis, more than 50 percent of all home foreclosures involved a 0 down home mortgage.

Before I explain why this occurred and why 0 down payment home loans are associated with poor credit, let me explain how one would go about obtaining a 0 percent down home loan.

The Two Main Methods to Obtain Zero Down Home Loans

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The following are the two techniques your bank or lender will use to work your loan into a zero down home loan. As you read this, you should ask yourself why it takes such tricks to complete this loan and if your answer to that why question has any warnings built into it. If that’s too obtuse for you, just read on.

Private Mortgage Insurance and High Interest Rates

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One of the most common ways of obtaining a 0 down home loan is to simply accept a high interest rate along with PMI (Private Mortgage Insurance). This insurance could technically refer to either Lender Paid Mortgage Insurance or Borrower Paid Mortgage Insurance, but since in most cases PMI is used in reference to the latter, you can from here forward assume I’m discussing Borrower Paid Mortgage Insurance.

Zero Down Home Loans

So what is Private Mortage Insurance? In a vast majority of situations, if you pay less than 20 percent for your down payment on a mortgage, your monthly payment will be increased with private mortgage insurance. This financing insurance is supposed to help protect the lender (the bank) if you default on your loan (simply meaning, you stop paying it).

When people can’t keep up with their mortgage payments and their home is repossessed, instead of having the banks take a loss for the homeowner defaulting on the loan, the insurance companies compensate the bank for the difference between the down payment and 20%. So if you made a 10 percent down payment when you financed and then defaulted on your loan, the insurance company would cover that extra 10 percent.

(You might now better understand why AIG, a massive insurance agency, suffered so badly from the subprime lending crisis.)

So how does this all relate back to 0 down home loans? Simply put, by agreeing to pay private mortgage insurance and committing to a much higher interest rate — and a higher interest rate will mean both a higher payment and that even less of that payment will go towards paying off your principal — you can, or you once could, convince lenders to offer you a 0% down home loan. I say you could, past tense, because it is much much more difficult to obtain 0% home loans today than before the subprime lending crisis when lenders offered almost anyone a no money down home mortgage.

Later in this article I’ll describe special cases (such as VA loans) where it is still a little more possible to obtain 0 percent home loans.

Piggyback Loans or The 80 20 Mortgage (80/20 Loans)

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The other common way to obtain a zero percent down home loan is by using a piggyback loan or piggy back loan through a second mortgage. These are also known as 80/20 loans or 80-20 loans. The concept is to avoid Private Mortgage Insurance by having a second lender cover the 20 percent necessary to avoid PMI.

Simply put, typical 0% down home loans involve financing 100 percent of the house value with a single lender (typically a bank). That’s typically one massive monthly payment with private mortgage insurance on top of it. So to avoid paying the PMI, lenders may allow you to “piggy back” one loan on to another. In other words, you pay your 20 percent down payment to avoid PMI through a second loan with a second lender.

0 Down Loans

It’s a 0 percent down loan because you’re not actually paying it yourself. You’re borrowing it from one lender and paying to another. Just think about this: can you imagine the disasters in waiting through 0 down home loans?

Although it was a risky loan, banks still did it because they often could charge a much higher interest rate on that second loan. And they figured it would remain a foolproof investment because real estate values would always increase, right? D’oh!

In some cases you may see these loans described as 80-10-10 loans or
some other numerical variation. In the case of an 80-10-10 loan, it usually means the borrower borrows 80 percent from the primary lender, pays 10 percent down and then borrows the last 10 percent from the second lender.

Honestly, if you’re having to play such lending games to avoid PMI, you should really stand back and reconsider whether you’re really ready for the responsibility of mortgages, much less 0 down home loans.

So which one is better for your situation? It really depends. I suggest you utilize a good, flexible mortgage calculator and consider your total monthly payment over the life of your 0 percent down loan.

A couple more knocks against piggyback loans include how already having two loans out there may make it more difficult for you later on should an emergency emerge requiring more financing. Piggyback loans also indicate 0 down home loans to lenders, and 0 down home loans often indicate irresponsible borrowers, making it less likely a bank will help you finance your new emergency.

In addition, piggyback loans often require a massive balloon end-of-term payment.

You should also know that you don’t have to pay PMI once you’ve paid 20 percent of your loan. So in most cases, if you pay your mortgage responsibly and don’t have to refinance even more of your home equity, you will not have to pay PMI through the life of your mortage.

How 0 Down Home Loans Have Changed

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Many people blame 0 down home loans for the housing bubble along with the housing market collapse. This is at least somewhat justifiable. With CountryWide folding into Bank of America, the 0 down payment mortgage has become little more than a myth. The term “subprime loans” has almost become synonymous with 0 down home loans (or “no money down home loans”).

Since the subprime lending crisis, VA loans — loans guaranteed by the U.S. Department of Veterans Affairs (Veterans Administration) — have become the only 0 down home loans available with regularity. VA home loans, however, are obviously pretty exclusive.

In some cases, the First Time Home Buyer Tax Credit (an $8000 tax credit for new home buyers) combined with FHA loans (Federal Housing Administration insured loans) may still create opportunities for 0 down home loans. Before you get too excited, make sure you fully comprehend FHA loan requirements.

And you should ask yourself if — in light of the recent housing market crash — such methods of providing zero down home loans for first time buyers is really such a wise idea.

Why Most People Shouldn’t Seek 0 Down Home Loans

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If you haven’t already picked up on my dry asides, I will now say it more directly: In a vast majority of cases, 0 percent down home loans are a really bad idea. I cringe when people ask me what the best way is to to obtain bad credit home loans with zero down. Why? The reasons are numerous and I wish they were more obvious to more people.

It’s just plain more challenging to qualify for a 0 down home loan.

A bank trusts borrowers who can afford to offer a down payment more than they trust borrowers who are doing everything they can to avoid this basic financial responsibility. This is even more the case than it used to be before the subprime lending crisis and economic collapse of the last couple years.

And should you even be trying for such a loan? Often people seeking these loans have bad credit. And if you have bad credit, you need to work on your finances, not put yourself in greater debt with a zero down mortgage.

Even if you think you could qualify, they’re becoming rarer every month. Banks are simply far less likely to take on the risk than they were three years ago.

If you seek a loan requiring a down payment, you will find options galore. The days of no-money-down loans have come and gone and real 0 down home loans are now very difficult to find. If you’re trying to pay down other debt with the cash you’re trying to save by not making a down payment, you might consider maneuvering for a 125 home equity a couple years into ownership instead of avoiding the down payment up front.

High Monthly Payments

Obviously, the more of your new home you finance and the less you pay up front, the higher your monthly payment will be. In addition, to obtain 0 percent home loans, people have to inflate that monthly payment even further with either a high interest piggyback loan or Private Mortgage Insurance (or both).

Higher monthly payments at the same price means you can afford less home.

When you calculate the larger principal along with either PMI or the extra interest rate of a 80 20 loan, you will find yourself paying much more per month for the same amount of home. This greatly reduces your options in your local real estate market.

This is one area where many mortgage calculators will give you a false impression. They often don’t integrate the reality of different lending fees for different circumstances.

And the biggest reason of all to avoid 0 down home loans:

The fundamental catch-22 that almost brought the U.S. economy to its knees is this: if they haven’t been careful enough with your money to afford a down payment, why do so many Americans believe they will suddenly be responsible enough with their money to pay large monthly payments with sky high interest rates?

Do yourself, your family and your bank a favor and be more cautious and wise with your money. Pay off your debt and save more money until you can afford a healthy down payment. Get your free credit report to find where repairs need to be made and start making small, safe investments with any money you have left over.

I’ve known people who had 0 down home loans who had their homes foreclosed. They were often very intelligent, well-educated and good people. But none of these positive personal traits could save them from their own irresponsibility.

Steer clear of 0 percent down loans unless you really do have a particular extenuating circumstance that isn’t just desperate rationalization.

While discussing my new site with a co-worker, we conceived of an interesting angle on the 0 down home loans phenomenon. One way to avoid closing costs and down payments is to keep it in the family. I know in many ways this idea will almost seem like it shouldn’t count, but to be honest, I think it is something more families should consider and deliberate when they plan for the long term.

Keeping in the family helps you achieve almost the equivalent of no doc mortgage loans, no money down home mortgages and shared ownership mortgages (or shared ownership properties) all without the usual bureaucratic wrangling.

There are many more benefits to multi-generational homes, but instead of expanding on it myself, I thought you might enjoy this good Coldwell Banker video I found on YouTube discussing the matter. I’ve written some pretty long articles on this site already so I thought I might give your reading eyes a rest.

I hope that helps you open your eyes to the possible advantages of keeping it in the family, so to speak. Thank you for visiting 0 Down Home Loans.

What are no doc mortgage loans? Simply put, no doc mortgage loans are home mortgages where relatively little documentation is required in the loan application process.

The standard mortgage process involves divulging a tremendous amount of personal data to win the trust of the lender. For people who value their privacy or are in other specific situations where providing the standard data is difficult, no doc mortgage loans may be an excellent option.

No Doc Mortgage Loans

However, you should understand that a no doc mortgage, like any so-called no doc loans, doesn’t literally mean you don’t provide any documentation at all. The term “no documentation mortgage loans” is really a misnomer. At the very least, you will have to allow a credit check as well as submit for a property appraisal.

This isn’t a method to obtain a bad credit no doc mortgage — such a thing doesn’t exist; this is an option for people like the self-employed or the very wealthy who may either prefer greater privacy or have an unusual income circumstance. Just as 0 down home loans aren’t supposed to be for people who can’t afford a mortgage otherwise, no doc mortgage loans aren’t for people trying to hide their bad credit.

The Price of Privacy: No Doc Mortgage Loans Cost More

You will pay more both up front and each month with a no doc mortgage loan or no doc home equity loans. No doc mortgage lenders and no doc mortgage rates will always cause you to pay a premium above the interest rate you would otherwise obtain. In most cases, you must also make an exceptionally high down payment and have exceptionally good credit.

Good, legitimate mortgage lenders usually attempt to convince borrowers to avoid no doc or low doc mortgage loans because they are so much more expensive.

Before you try to obtain a no doc mortgage loan, I suggest you contact a trustworthy bank or credit union and discuss your situation and your needs. If you have excellent credit and plenty of money to make a down payment, you may not need to resort to a no doc home loan. You should also note that, like some people who make the mistake of seeking a no money down home mortgage when they can’t afford a standard loan, you should not be seeking no doc mortgage loans just to hide your bad credit. These loans are not a way for you to hide your poor credit. In fact, you need exceptionally good credit to obtain a no doc mortgage loan.

Generally, the less the documentation you are willing to provide, the higher the rate you will have to pay. So give a good mortgage broker the opportunity to show you how you can document everything before assuming you must pay the premium for the no doc loan or no doc refinance.

How to Apply for A No-Doc Mortgage Loan

Because of the housing market crash and the subprime lending crisis, low doc as well as no doc mortgages have become even more difficult than usual to obtain. In fact, many major lenders don’t even offer them right now.

So, are no doc mortgages still available? Well, they’re rare.

But if you find a bank or credit union (you have considered credit unions, haven’t you?) offering no doc mortgage loans and you have the money and credit to obtain one, you will find the process less tedious than the typical mortgage process. Basically, you will provide your social security number, your name and the property appraisal data. The lender generally takes care of the rest.

Keep in mind that most no doc mortgage loans require an exceptional credit score and sizable down payment to qualify. If you’re not self-employed or have an otherwise non-traditional income circumstance, you will likely be better off applying for a more traditional mortgage loan.

3 Main Types or No Doc Mortgage Loans

You will find three primary types of no doc home loans normally available.

No Doc or NINA

The simplest and most privacy-rich option is the straight No-Doc loan, otherwise known as a NINA mortgage. NINA stands for “no income, no asset” and implies that your income and assets don’t need to be verified. It is sometimes also referred to as a no income verification mortgage.

While this option provides optimum privacy and the ultimate in ease, you really need to have a ton of money for a down payment as well as an excellent and long credit history. This is the kind of home loan often sought by celebrities, for example.

Stated Income Mortgage (or Low Doc Loans)

Stated income mortgages is often the best choice for self-employed individuals or people whose income is mostly comprised of tips and commissions. Because data must still be provided regarding their income, it is often referred to as a low doc mortgage loan rather than a no doc mortgage loan.

No Ratio Mortgage Loans

No ratio loans are also sometimes referred to as NINA mortgages, like no doc loans. They are similar to no doc loans in that income doesn’t need to be fully disclosed. It is referred to as a no ratio mortgage because the lender isn’t provided with a debt-to-income ratio to evaluate.

No ratio mortgage loans are often utilized by the wealthy, retirees living off investments, or people living through some kind of unusual financial circumstance, such as a divorce.

So Who Should Really Consider These High Priced Loans?

There are basically two different situations where these no doc mortgage loans may be a good idea. The first is simply people who are very serious about their privacy. Professional athletes, rock stars and movie stars often are willing to pay a premium for privacy. This isn’t to imply you must be a celebrity to care about privacy, but it is often people who might have people nosing about their business that seek a no doc home loan.

The second situation is for people who have a non-standard income situation. This could mean you’re self-employed or your work involves receiving a large percentage of your income in untaxed income, such as through commissions or through cash (tips).

So before you commit yourself to seeking no doc mortgage loans, consider whether it is really necessary. Simply put, the more information you’re willing to share with a lender, the more likely you’ll get a good loan for a good interest rate. I would only consider a no doc mortgage loan if it is really necessary for your particular circumstance.

Like so many other specialized mortgage programs, shared ownership mortgages are now far less common and more difficult to obtain than just a few years ago. Shared ownership mortgages are often called part buy, part rent programs. Typically you mortgage a share of the property from a housing association then also pay rent on the part of the property you do not own.

Part Buy, Part Rent Advantages

This can make property more affordable as a shared ownership mortgage often only requires you buy and mortgage 25 to 50 percent of the property value. Shared ownership mortgages are also sometimes called fractional ownership loans as you own a fraction of the property.

If you can’t possibly qualify for a full mortgage on your own just yet, a mortgage on only 25 to 50 percent of the property value may be your best path to becoming a homeowner.

Shared Ownership Schemes

Shared Ownership Mortgages

Shared ownership properties derive from programs designed to help people afford vacation homes or shared ownership of properties such as boats. Eventually shared ownership houses became a possibility as lenders and brokers saw them as a reasonable way to share the burden of a mortgage for first time home buyers. This scheme can be among the most flexible mortgages. You can even still take a 125 home equity loan against the portion you own to make upgrades and increase the property value.

Staircasing Shared Ownership Mortgages

One of the drawbacks of shared ownership mortgages is that if the value of the property increases, you gain less equity because you will only own a fraction of the entire property.

However, some shared ownership mortgage lenders may help you setup a scheme called staircasing. A shared ownership staircasing mortgage allows you to “staircase” your ownership. This means you buy additional portions of the property during the lifetime of your ownership, slowly increasing your ownership until you become the full owner.

Be sure to seek advice from someone like a shared ownership mortgage broker before you commit to a staircasing program. Much will depend on the housing association, cooperative or investors involved in your shared ownership proposition, but you need a broker making sure you’re fairly represented in the agreement in principle.

Not A 0 Down Home Loan

Do not, however, expect 0 down home loans to be compatible with a shared ownership mortgage. Housing associations desire serious investors capable of maintaining their part of the homes equity. Being able to afford a down payment helps you ensure that you can keep up your end of the bargain.

I include these programs on my site because people seeking 0 down home loans are often the same sort who might consider shared ownership mortgages for their savings advantages.

I encourage people considering these loans, however, to seek such loans that allow staircasing. Part of property ownership is developing equity as an investment. Staircasing ensures that as you are more capable of affording a greater mortgage, you can increase your equity in your home. Take the time to find the cheapest shared ownership mortgages and work with a reputable broker.

A 125 home equity can help first time buyers who would like to consolidate debt or who would like to simultaneously finance their new home along with some home upgrades. In such cases, a 125 home equity loan is often a flexible solution.

What Is 125 Home Equity?

125 home equity is simply borrowing 125 percent of the value of your home. Sometimes this is done through a single mortgage lender and sometimes this may involve a 125 second mortgage. Sometimes 125 home equity refers to a single fixed rate 125 home equity loan and sometimes it refers to variable interest rate 125 home equity line of credit (HELOC).

125 LTV Home Equity Loans

When you borrow 125 percent of the value of your home with a single lender, you have a 125 loan-to-value ratio, LTV ratio.

125 CLTV Home Equity Loans

When you use a second mortgage to cover the full 125% home equity, the combined value of both mortgages should have a 125 CLTV or 125 combined-loan-to-value.

Who Would Use A 125 Home Equity Loan?

The two main reasons people desire 125 percent home equity are debt consolidation and home improvement.

125 Home Equity

Even though 125% home equity loans often have high interest rates relative to mortgages, they’re often still low compared to credit card interest rates and other debts. Thus it is often advantageous to roll debt like auto loans, student loans, medical expenses as well as credit card debt into a 125 home equity loan to reduce your monthly payment and make a single payment rather than four separate payments (these three debts plus your mortgage).

This can work both for first time buyer and for existing homeowners looking to refinance.

The second reason is simply to get some cash for major upgrades to your home or life. This might include some new furniture, a landscaping overhaul or that new addition to the den. Keep in mind that isn’t free money: you’re taking a gamble that your finances will remain sound enough to pay this loan off while the value of your home simultaneously increases.


As I’m sure you have noticed, this hasn’t always been the case in the last couple years. 125 home equity loans have contributed to the subprime lender crisis. This is because people with bad credit and bad debt often seek 125 home equity loans to consolidate their debt and minimize their monthly expenses. Unfortunately, many of those people were already in too deep and lenders were too lenient in accepting them.

Where Do You Obtain A 125 Home Equity Loan?

While I suggest you begin local with banks and credit unions, you will more likely find it easier to obtain a 125 home equity loan through an online resource. However, this comes with risk. There are all kinds of people trying to exploit the desperate online. Be extremely cautious and meticulous when sharing your credit and financial data online. You should be particularly cautions of people attempting to sell you 0 down home loans.

So if you can find someone willing to work you in person first. If you’re not familiar with credit union, I urge you to consider a 125 home equity second mortgage with one to get a sense for what it’s like to work through a credit union instead of a bank. You might find yourself pleasantly surprised with the service and lack of fees you’ll experience with a credit union.

You definitely should be skeptical of spectacular offers from people or organizations that haven’t very specifically considered your credit, debt ratio and home value. All these must be weighed before an offer can be made, so until a bank or online resource knows this data about your particular case, it’s all just empty hype.

What If You Have Bad Credit?

It is becoming more difficult to obtain 125 home equity loans or 125 home equity lines of credit in the aftermath of the housing crash. And if you have bad credit, it may be all the more difficult to obtain either a 125 HELOC or 125 home loan. To put it bluntly, if you have bad credit and you initially bought your home with a no money down home mortgage, a 125 home equity loan may only dig you into a deeper hole. So please be careful.

But don’t let that stop you from trying. This is a chance to reduce your monthly debt and repair bad credit for good. One option is to obtain an FHA loan or an FHA insured mortgage. A 125 home equity FHA refinance is still a possibility. The first time home buyer tax credit and support from FHA (Federal Housing Administration) can still help you wrestle that bad debt down and obtain a 125 home equity loan.

125 Home Equity Loan Vs. 125 Home Equity Line of Credit (HELOC)

While a 125 home equity line of credit may provide more flexibility, keep in mind that abuse of HELOC was a key ingredient in the economic collapse related to the subprime lending crisis. If you obtain such a line of credit, you need to be deliberate and responsible in its use.

Beyond flexibility, I encourage you to obtain a fixed rate 125 home equity loan over a 125 HELOC. You will enjoy the security and consistency of one single stable monthly payment and it will force you to eliminate your excess debt up front. This is because once your loan is underwritten and complete, the bank will provide you with checks you must use for your other debts (for example, one might be written straight to your credit card company). This forces you to create clean slate and provides fewer opportunities for irresponsible abuse.

While I don’t like to encourage people to build more debt through programs like those that provide 125 percent home equity, the truth is that they’re an excellent option for people trying to rebuild their credit or for responsible people who really need address specific home improvements.

Since people keep asking me if a no money down home mortgage is still possible despite my discussing it extensively in my 0 down home loans article, I thought I better approach the no money down home mortgage in its own essay.

The History of No Money Home Loans

Just like with 0 down home loans, a no money down home mortgage involves financing the entire value of the home rather than paying a down payment. While the no money down phenomenon actually derives from lenders providing wealthy investors a means to create new loans without liquidating their assets, it soon grew to the opposite end of the spectrum.

No Money Down Home Mortgage

It became a way for lenders to provide loans to individuals who couldn’t afford a down payment. Even though this meant courting more risky borrowers, lenders proceeded anyways because it appeared real estate was infallible investment. Property values appeared to soar endlessly, so even if a borrower defaulted on their loan, the bank could still resell it and make a profit (because the property value would be much greater than when the borrower go their loan).

About 25 years ago, average down payments were about 20 percent. During and even after the subprime lender crisis, the most common down payment is only about 4 percent. When real estate prices escalated during the 80s and 90s, lenders came up with more creative means to lend money to prospective first time home buyers.

A No Money Down Home Mortgage Is Hard to Find

Aside from veterans who can qualify for VA loans, it is almost impossible for home buyers to find a no money down home mortgage. When the real estate bubble burst, lenders found themselves collecting a larger and larger number of bad loans. This scarcity of no money down home mortgages has made it more difficult than ever for first time home buyers to obtain a home loan.


But just because no money down mortgage programs and no money down home mortgage lenders have disappeared doesn’t mean you can’t find low money down mortgages. FHA home loans — loans obtained with assistance from the Federal Housing Administration — and the first time home buyer tax credit may still help you obtain a mortgage with very little down. It isn’t quite the same thing as a zero down home loan, but it can still help you fulfill your dream of owning a home.

To be honest, no money down mortgage financing was always a bad idea for first time home buyers with shaky credit. It was a gamble lenders and banks made for their own profit. One could argue it was irresponsible for them to make such a gamble of peoples’ lives. Because they bet on real estate continuing to soar, they figured they would profit even off the irresponsible. Never mind the stress and loss those individuals might experience when they could no longer afford those high interest monthly payments.

The Way No Money Down Home Mortgage Loans Used to Work

In the 90s, when the no money down home loans came into prominence, lenders and banks 100 percent financing programs. By financing the entire value of the home rather than paying a portion of it up front through a down payment, buyers accepted higher interest rates, higher monthly payments and in most cases also the additional cost of private mortgage insurance (PMI).

PMI protected the lender or bank, not the borrower, and often added $50 to $100 more to your monthly payment for every $100,000 of the loan. To get around that, creative lenders devised the piggyback loan. Such a loan, often referred to as an 80-20 loan, helped the buyer avoid PMI by taking a second mortgage against the first mortgage. Basically, this second mortgage paid the 20 percent necessary on the first loan to avoid having to pay private mortgage insurance.

This also contributed to the economic collapse, because when someone defaulted on their loan, the foreclosed house and resale almost always paid off the first loan but not the second mortgage or piggyback loan.

When foreclosures and delinquencies surged in the last five years, all these creative financing methods pretty much dried up.

Be Practical About No Money Down Advertising

I still see some aggressive advertising regarding no money down home mortgage programs. Keep in mind that no matter what they promote, what they can offer to you personally can’t be known until they know your full credit and financial situation as well as the appraisal on the property you want to mortgage or refinance.

As I’ve said before on this site, I encourage people to exercise patience when they consider home buying and home loan financing. You will achieve greater peace of mind and greater financial stability over the long run if you put the time and effort into straightening and strengthening your current finances before you engage in the stress and debt of any kind of mortgage.

A no money down home mortgage isn’t a virtue as much it can be a burden. 0 down home loans contributed to the near-collapse of the world economy, so you should exercise caution and responsibility when you consider integrating one into your life.