Flex Down Mortgages: When Savings Come Up Short

Not quite there on the down payment? A flex down mortgage lets you borrow the 5% minimum—usually through a personal loan or line of credit.

Great for:

• Renters with solid income and credit but not a lot of savings
• First-time buyers eager to get into the market sooner

How it works:

• You’ll still need to qualify under the stress test
• The lender needs to see you can carry both the mortgage and the borrowed down payment
• Expect slightly higher insurance premiums

It’s a creative solution for those who can afford monthly payments but need a little help up front.