How To Get Around 5% Down Payment Requirement?

[Ibrahim Hughes]

A friend of mine is buying a home with a city assisted mortgage program of some sort. They are requiring that she put 5% down and that she can't receive it as a gift or borrow it. Any other ideas?

Since her Mother WAS going to gift it I thought the best bet would be to put the Mother down as a co-signer and co-purchaser of the home. Any other ideas?

[Bryan Hancock]

Sometimes lenders will allow "deferred maintenance credits" to help offset downpayment requirements. I am not sure if that will work for this loan type though.