How would I do with $5,000 down and avrage credit

Well, it all depends on the price of the house and the type of loan. Avg credit will probably get you a higher rate... (better your credit, the lower the rate)

But the $5k will probably not be enough. Go talk to a mortgage broker and see about getting pre approved.

Expect to have at least 5% down on a home to get a loan right now. So that means your $5,000 would be a down payment on a $100,000 home. You will be looking into a FHA loan at that point. But you need to talk with a mortgage officer to find out more specific information.