Although many lenders have made it easier to get into a house by lowering lending standards from what they were in the past, many people still find it difficult to come up with the money necessary for the down payment. 

In the past, most lenders required a 20 percent down payment to purchase a home. But that rule is mostly a thing of the past, since there are now a variety of loan products available that offer little or no money down.  Although it is never the best idea to do a 100 percent financing option because you put yourself at a higher risk.

What many people do not about acquiring the money for the down payment is the source must be documented, and lenders actually care where you come up with the money for the down payment.  Since this is a great sum of money, this regulation makes a lot of sense.

An October 27, 2006 article posted on Yahoo’s Real Estate page and submitted by Quicken Loans, “Coming up with a down payment for a new house,” discusses the acceptable sources a down payment can come from and some other viable options.

A down payments coming from your checking, savings or money market account looks the best from a lender’s point of view.

“If you already have the money available in your checking, savings or money market account, lenders will deem you a less risky borrower. The money is considered liquid funds--easily and quickly accessible. It demonstrates that you are financially stable enough to handle paying back the mortgage loan. Any additional assets that you are able to document for the lender will prove further stability in the case you have a financial emergency and need to draw upon those assets to cover your mortgage payment .”

In addition to getting your down payments from other traditional sources such as stocks, bonds or mutual funds, your down payment can also come in the form of a gift; although there are certain limits and restriction that a potential borrower must be aware of.

“You may receive a monetary gift from family members to make the down payment on a new house. This would include your parents, siblings, grandparents, and aunts and uncles. You will need to fill out a ‘gift letter’ provided by your lender that states how you are related to the person giving you the down payment gift, the amount of the gift, and possibly the source where the person got the money for the gift and is signed by you and the gift-giver.”

Selling personal property is also another great way to obtain the money for your down payment, especially if you no longer have any use for it.

“You can use the profits from the sale of personal property (such as a car or other valuable items) toward a down payment. You need to have a paper trail to prove ownership, sale and transfer of ownership of the item. Ask your mortgage banker what type of documentation you'll need for whatever you'll be selling. Make sure you are paid with something other than cash. A check might be wisest.”

If none of these sources work for you, there is always an option of getting a loan with a higher loan-to-value ratio as described above, although these can get a borrower in a lot of trouble if they are not financially prepared.

“Some lenders have zero-down programs that finance 100 percent of the home's purchase price; some offer programs for even higher to cover closing costs. You could also look into getting a ‘piggyback’ which is a first mortgage for 80 percent of the home's purchase price and a second for the other 20 percent.”

Remember, lenders want to help you get into a home, and this is only a partial list of the sources your down payment can come from, so make sure you discuss all of your options with your lender.