If you're buying in Tennessee and the bank wants a down payment you don't have, owner financing with up to 100% financing is the workaround. No bank mortgage — and the down payment itself can be funded, so qualified buyers close with no money out of pocket.
Owner Financed Homes in Tennessee: The Numbers
- 45 owner financed listings currently available across Tennessee
- Median price: $375,000
- Median down payment: $40,250 — the amount you could finance instead of saving for
- Top markets: Memphis, Clarksville, Nashville, Sevierville, Gatlinburg
At the Tennessee median of $40,250 down, a traditional buyer needs that cash plus roughly 11% of the home price in closing costs — about $81,500 total out of pocket on a $375,000 home. With down payment funding, that number can be zero.
How 100% Financing Works in Tennessee
- Pick your home from owner financed listings in Tennessee
- Apply for down payment funding — check stubs or bank statements. A soft credit check (no score impact) shows offers from multiple lenders
- Choose your offer — you pick the lender and terms. Hard inquiry only if you accept
- Close — if funding covers the down payment and closing costs, you bring nothing to the table
Pro tip for Tennessee buyers: request about double the down payment. On a typical $40,250 down payment in Tennessee, request around $80,500 — the extra covers closing costs, inspection, attorney fees, and moving expenses.
Who Qualifies in Tennessee
Qualification is income-based, not savings-based. Lenders want to see check stubs (W-2) or bank statements (self-employed), plus a soft credit pull that doesn't affect your score. There's no published minimum income — you enter what you make, and lenders make offers based on it. Even a partial offer means less money out of your pocket.
Browse Tennessee Homes With 100% Financing
Inventory moves fastest around Clarksville, Nashville, Sevierville, Gatlinburg. Every owner financed listing on our site qualifies for down payment funding — see what's available in Tennessee today.
Buying in Tennessee? Check Your Offer
Soft credit check — your score is not affected. See real offers from multiple lenders in minutes.