In Clarksville, Tennessee, your required down payment in 2026 could range from 0% to 3.5% or more, depending on your loan type and eligibility. Eligible VA and USDA buyers may qualify for zero-down financing. FHA loans generally require at least 3.5% down, while some conventional programs allow qualified first-time buyers to put down as little as 3%.
Down payment assistance can reduce your upfront cost even further. Clarksville and Montgomery County buyers may want to compare THDA Great Choice and Great Choice Plus, USDA loans, VA loans, FHA financing, conventional programs, and local lender assistance before deciding how much cash to save.
The right answer depends on your income, credit profile, military eligibility, household size, property location, and the current requirements of the program you choose.
How much is the down payment on a $325,000 Clarksville home?
The following examples show the loan minimum before assistance, seller concessions, or other credits:
| Loan type | Potential minimum down payment | Example on a $325,000 home |
|---|---|---|
| VA | 0% | $0 |
| USDA | 0% | $0 |
| FHA | 3.5% | $11,375 |
| Conventional first-time buyer program | 3% | $9,750 |
| Conventional loan with 5% down | 5% | $16,250 |
These figures are examples, not loan quotes. Your lender will determine the actual amount required based on the purchase price, appraisal, loan program, credit profile, underwriting, and available assistance.
Remember that down payment is not the same as total cash to close. You may also need to plan for earnest money, inspections, appraisal fees, title expenses, prepaid taxes, homeowners insurance, lender fees, moving costs, and initial repairs.
Can you buy a house with no down payment in Clarksville?
Yes. Eligible buyers may be able to purchase a Clarksville-area home with no down payment through a VA loan or a USDA loan.
However, zero down does not necessarily mean zero money needed. You may still have closing costs and prepaid expenses unless they are covered by seller concessions, lender credits, assistance, or another approved funding source.
Read Haus’s guide to buying a house with no down payment in Clarksville for a closer look at the difference between no down payment and no cash at closing.
THDA Great Choice and Great Choice Plus
The Tennessee Housing Development Agency offers programs that may help eligible Tennessee buyers reduce their upfront costs.
The THDA Great Choice Home Loan is a first-mortgage program available through approved lenders. Depending on your eligibility, the underlying loan may use FHA, VA, USDA, or conventional financing.
The Great Choice Plus program may provide assistance toward eligible down payment and closing costs through a second mortgage. Current program structures can include:
- A deferred assistance option with no monthly payment during the applicable term
- An amortizing option that may provide up to 5% of the purchase price, subject to the program maximum
- Assistance that must generally be paired with a qualifying THDA first mortgage
- Requirements involving income, purchase price, credit, occupancy, and approved lender participation
For Montgomery County, current 2026 THDA limits reported for Great Choice programs include a maximum acquisition cost of $500,000, with household income limits of approximately $102,574 for one- or two-person households and $117,961 for households of three or more. These figures can change, and the applicable calculation may depend on household composition and program rules.
Before making an offer, ask a THDA-approved lender to verify the current limits directly through the official THDA homebuyer resources. Also confirm whether the assistance is deferred, forgivable, or repayable and what happens if you sell or refinance.
Haus’s Clarksville first-time homebuyer programs guide provides additional information about THDA, FHA, VA, USDA, and local assistance options.
VA loans: zero down for eligible Fort Campbell buyers
Clarksville’s proximity to Fort Campbell makes VA financing especially important for military-connected buyers.
A VA-backed purchase loan may allow an eligible borrower to buy a primary residence with no down payment, provided the borrower meets VA and lender requirements and the purchase price does not exceed the appraised value. VA loans generally do not require monthly private mortgage insurance.
Eligibility may include:
- Active-duty service members
- Veterans who meet qualifying service requirements
- Certain National Guard and Reserve members
- Some eligible surviving spouses
Even with a zero-down VA loan, you may still have a funding fee unless exempt, closing costs, prepaid expenses, inspections, and moving costs. Ask your lender for a written estimate of your complete cash-to-close amount.
A buyer may also request seller-paid closing costs when permitted by the loan program, lender, and contract. Discuss that strategy early so your offer reflects both the property and your financing needs.
USDA loans: zero down in eligible areas
USDA financing may provide 100% financing for qualified buyers purchasing a primary residence in an eligible area.
The key point for Clarksville and Montgomery County buyers is that USDA eligibility is determined by the specific property address. You should not assume that every home in Clarksville or every part of Montgomery County qualifies.
USDA eligibility can depend on:
- The property’s location on the official USDA map
- Household income and family size
- Credit and debt-to-income requirements
- Primary-residence occupancy
- Property condition and appraisal
- The home’s compliance with USDA standards
Use the official USDA eligibility resources to review the property map and income information. The map is a starting point; your approved lender and USDA Rural Development must confirm final eligibility.
FHA financing: 3.5% down for qualified buyers
FHA financing is a common option for first-time buyers who want a lower down payment and may benefit from more flexible qualification guidelines.
With an FHA loan, qualified buyers may be able to put down 3.5%. On a $325,000 home, that equals approximately $11,375.
FHA financing may be useful when:
- You have limited savings
- Your credit history needs additional review
- You want to pair the loan with approved assistance
- You are purchasing a primary residence
FHA loans include mortgage insurance costs. Compare the complete monthly payment, upfront mortgage insurance, ongoing mortgage insurance, interest rate, and cash to close rather than focusing only on the down payment.
Conventional loans and local lender assistance
Some conventional first-time buyer programs allow qualified borrowers to put down as little as 3%. Conventional loans may be attractive if you have strong credit, stable income, manageable debt, and sufficient reserves.
Local lenders may also offer down payment assistance products. These programs vary widely. Assistance may be structured as:
- A grant
- A deferred second mortgage
- A forgivable loan
- A repayable second mortgage
- A lender credit with specific rate or fee terms
Ask the lender whether the assistance must be repaid, whether it creates a lien, how it affects your interest rate, and what happens if you sell or refinance. A program that reduces your upfront cost may increase your monthly payment or create a future repayment obligation.
Can you combine down payment assistance programs?
Sometimes, but never assume programs can be stacked.
THDA assistance, local city or county programs, seller concessions, lender credits, gifts, and other funds all have rules governing how they may be combined. Some programs may not be compatible, while others require specific approval before closing.
If you are considering assistance, take these steps:
- Ask an approved lender to identify every program you may qualify for.
- Confirm the income, credit, property, and purchase-price limits.
- Verify whether the assistance is a grant or loan.
- Request a written cash-to-close estimate.
- Confirm whether the funds can be combined.
- Complete any required homebuyer education early.
- Ask what happens if you sell, refinance, or stop occupying the property.
What should Clarksville buyers do first?
Start with a complete preapproval rather than choosing a loan based only on its advertised down payment.
Ask your lender to compare VA, USDA, FHA, conventional, THDA, and local assistance options using the same estimated purchase price. Then discuss your preferred neighborhoods, commute to Fort Campbell, property type, monthly budget, and long-term plans with a local real estate professional.
If you are considering Oak Grove or Hopkinsville, remember that Tennessee assistance programs generally do not apply to a Kentucky purchase. Kentucky buyers need to review Kentucky-specific programs and lender requirements.
Your down payment is only one part of a successful purchase. You also need a payment that fits your budget, a property that meets the loan requirements, and enough financial flexibility for ownership expenses after closing.
Frequently asked questions
What is the minimum down payment for a house in Clarksville in 2026?
It may be 0% for eligible VA or USDA buyers, 3.5% for qualified FHA buyers, or 3% for some conventional first-time buyer programs. Assistance may reduce the amount you pay from your own funds.
How much do I need to put down on a $325,000 home?
A 3% down payment is approximately $9,750. FHA at 3.5% is approximately $11,375. A 5% down payment is approximately $16,250. VA and USDA may require $0 down for eligible buyers.
Is THDA Great Choice Plus free money?
Not necessarily. Great Choice Plus assistance may be structured as a deferred, forgivable, or repayable second mortgage, depending on the current product. Ask your lender to explain the repayment terms in writing.
Can I use a USDA loan anywhere in Clarksville?
No. USDA eligibility depends on the exact property address, household income, and other program requirements. Check the official USDA map and ask an approved lender to confirm eligibility.
Do zero-down buyers still need closing money?
Often, yes. Inspections, appraisals, prepaid expenses, title charges, moving costs, and other expenses may remain even when the down payment is zero.
Build your Clarksville homebuying plan with Haus
The best down payment strategy depends on more than a percentage. You need to compare the full loan cost, assistance terms, monthly payment, property eligibility, and cash required at closing.
Haus – CVILLE Tennessee is committed to helping buyers understand the Clarksville and Montgomery County market, including neighborhoods near Fort Campbell, property condition, offer strategy, and the practical steps between preapproval and closing.
When you are ready to review your options, contact Haus.
Written by Randy Whetsell. This article is for general educational purposes and is not mortgage, legal, tax, or financial advice. Loan programs, income limits, purchase-price limits, rates, funding, and underwriting requirements can change. Verify current requirements with an approved lender and the applicable program administrator before making a purchase decision.
