One of the most common things that a real estate will tell you that he hears is that although the first home buyer is interested in buying the home being looked at, he or she often does not have any idea of how to come up with a down payment for the property in question. Do not fool yourself into thinking that coming up with a down payment is as difficult as people think.  One of the best ways to come up with a down payment is to take advantage of the IRA (independent retirement account). The Internal Revenue Service (IRS) allows a first home buyer to use up to ten thousand dollars without any penalties. Married people can each take ten thousand dollars from each of their IRAs. For those who do not have an IRA, you can still take advantage of the IRA that a family member might have. The same benefits apply to family members that are using the money to take care of a first home buyer's loan. The IRS allows family (children, grandchildren, parents or grandparents) members to help. Are you a first home buyer? The IRS defines a first time homebuyer as someone who has no interest in a main home. This goes for your spouse as well in order to qualify. Check with the IRS if you have any questions about whether you will qualify. The next choice you may use to make a down payment is to consider the first-time homebuyer tax credit that some states offer to its inhabitants. You might also have an option to take advantage of the federal program for first home buyers. These programs can provide tax credits, low costs interest loans, and even some down payment possibilities. Using you 401K to borrow from is another great option to come up with a down payment. If you are in a state that has the tax credit, you can repay the 401K loan once you have gotten the credit. If you have a family member who could lend you some money to cover the down payment, you could save money. You can help provide an incentive to them to lend you the money by offering to pay it back with interest. At least you can pay a lower interest to them than a bank may provide. To help them feel secure, you could use the home as part of a second mortgage. As long as you have a bank financed first mortgage, you can use the home for a second mortgage with a private individual. Another option to getting the money for a down payment for a first home buyer is to look at the different companies out there that are trying to help people achieve their goal of getting a first home. These organizations can help you to achieve your dreams by finding ways to come up with the financing needed for your home. With a little research you can find the right company to help you as a first home buyer.