VAloans are still zero down. FHA are - as stated above - 3.5% down with various closing costs, often required to be funded by the seller. John -- I do take your point, but i believe the world has changed. I used to be a lender back from 77 - 84 and you are right that ideally 20% was the required downpayment -- you could purchase Private Mortgage Insurance to cover lower down payments. In the present world we live in with costs of everything skyrocketing, I wonder if it is reasonable or feasible for the buyers to come up with 20% diwn. They have massive school debts and massive insurance premiums if they are lucky enough to have insurance. You are absolutely right that the less money put down, the less vested a buyer is in a house. But the crucial issue, it seems to me, is that loans were made with NO CONSIDERATION OF PEOPLE'S ABILITY TO PAY.We realtors called them Liar Loans --- tell the loan officer what they wanted to here. THAT is the travesty. But if someone has good credit and has the ability to oay, and understands the implications of what signing a long term contract are, and the price of the house is not inflated I see nothing wrong with the 3.5% down loan. Ideal - no. Workable - yes! And remember the mortgage tax breaks really makes it impractical to rent rather than buy in this world -- it is the last legitimate middle class tax break......