Are you a first-time home buyer? Don’t know where to begin with and which first time homeowners loan to choose? Then continue reading as we provide you with complete details about:
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If you thought that living in the Golden State means saving tens of thousands of dollars for a down payment or perfect credit to become a homeowner, then you might want to think again. The good news is that the residents of California have numerous loan programs to achieve their dream of buying a home. Loan programs include but are not limited to:
Buying a home for the first time is easy with this loan program. It has a low down payment and a 30-year loan term. Requirements include:
CalPlus conventional loans include the same features as the CalHFA program; however it has more additional benefits, which helps first-time home buyers to finance closing costs with a zero-interest loan.
However, this loan is offered in conjunction with the CalHFA ZIP (Zero Interest Program). Therefore, you can pay for the closing cost using ZIP as the borrower. This further enables you to get a loan equal to 2 percent or three percent of the mortgage amount.
The interest rate is zero percent, while payments through the life of the loan program are deferred. Requirements include:
This is yet another way to finance your homeownership dream. Down payment is only 3.5 percent, and the credit score requirement is a minimum of 580. Hence, through this government loan program, even buyers with less than perfect credit can afford a home. To learn more about FHA loans, please click here…
No lender will qualify a potential home buyer if they have a high risk of default. Therefore, there is a criterion determining the eligibility for a loan in terms of who qualifies and what income is recognized by the lenders.
Mortgage lenders are likely to accept those borrowers who:
Here are some tips from our experts to make home-buying simple and avoid possible mistakes:
First things first, get a mortgage pre-approval. It gives you peace of mind and helps increase your chances of securing your dream home. A pre-approval letter:
When you get a pre-approval letter, make sure it is fully underwritten to avoid potential issues later. This letter assures the seller that your information is verified which further increases your chances of securing the purchase.
Make sure to start saving early. You can do this by slashing unnecessary or impulsive expenditures and creating a budget to help reach your target. This is much needed because studies show that it takes nearly 6.5 years for an average first-time home buyer in America to save for a 20 percent down payment. So, we say start your savings in advance. Cut back on expenses and put those funds in a brokerage or high-yield savings account.
A good credit score can provide more financing choices and lower interest rates or premiums. So, if you want that, focus on strengthening your credit from today. Lenders want to see stable credit. Therefore, avoid racking up credit card debt or opening new accounts. Review your credit reports for inaccuracies, errors, or wrong information. Get them fixed to restore your credit and ensure you have the ideal score to qualify for the loan program.
If you are vested in buying your first home, avoid incurring additional liabilities like purchasing a car or taking out a personal loan. Stay focused. Don’t be tempted. All of this can wait till you become a first-time home buyer.
Work with a team that has the experience and expertise in working with first-time home buyers and can provide you with quality guidance and step-by-step assistance in achieving your goal.
Though it is possible to buy a home solo, it is not recommended when it is your first time. Work with a seasoned local real estate agent who can help vet neighborhoods, schedule home tours, negotiate, draw up contracts, etc.
So, if you wish to enjoy a hassle-free home buying process, contact us. We can provide you quality assistance from start to finish. In addition to many first-time home buyer loan programs there are also numerous down payment assistance programs. We can help you navigate through them too. These can significantly minimize the up-front cost of purchasing a home.
Potential house buyers are always looking for cost effective choices that can help them through the home buying process as the competition in the real estate market increases. Hence, The Federal Housing Administration or FHA home loans are now taking over the Market. This is because FHA lower down payments, lower interest rates, and enhanced […]
FHA Home Loans are now taking over the market Read More »
The benefits of a pre-approval for home loans are immense, especially if you’re planning on purchasing a home soon. With today’s housing market being so challenging, it’s essential to have a solid grasp on your homebuying budget. The key to staying ahead of the competition is to get pre-approved. A pre-approval for home loan is
Benefits of a Pre-approval for Home Loans | Tips & More Read More »
Big changes coming to conventional mortgages! If you’re planning to apply for a conventional mortgages for your home purchase or refinance (click and read “Home Sales Surge: A Time to Invest!“), you should be aware of some changes that are coming your way. As of May, the Federal Housing Finance Agency has updated its pricing
Latest Changes to Conventional Mortgages: What You Need to Know | EZ Fundings Read More »
If you’re thinking about homeownership, you want to know the decision will be a good one. And for many, that means thinking about what home prices are projected to do in the coming years. This could impact your investment. So how homeownership is the key to long-term wealth?? Home Price Appreciation in the Years Ahead
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Do not worry if you are a first-time homebuyer in California. If you missed out on the CalHFA Dream For All program, there are many other payment programs you need to know. Homeownership is not just a dream for all. Thus, there are other down payment assistance programs available to help you achieve your homeownership
Homeownership is not just a “Dream for All” Read More »
As a potential home buyer, it’s crucial to understand how even a small shift in mortgage rates can significantly affect your home buying power and monthly payments. The 30-year fixed mortgage rate has been fluctuating between 6% and 7% this year. Thus, let’s explore the connection between home buying power and changing rates, the benefits
Home Buying Power and Changing Mortgage Rates Read More »
California Dream for All: A Path to Homeownership for First-Time Homebuyers The California Dream for All program is a state-sponsored initiative aimed at assisting low- and moderate-income first-time home buyers. This is to achieve homeownership by providing shared-appreciation loans for down payment assistance. This program has been introduced under Senate Bill 197 which was administered
California Dream | Making Homeownership a Reality for all | EZ Fundings Read More »
February Home Sales Rise by 14.5% with Prices Dropping for the First Time in a Year because of home sales surge! According to the reports of National Association of Realtors, home sales surge happened in February by 14.5% breaking a 12-month losing streak. Buyers take advantage of declining mortgage rates. Lawrence Yun, NAR’s chief economist,
Home Sales Surge: A Time to Invest! Read More »
In recent years, the media has been buzzing with headlines claiming that it’s better to rent than to own a home. However, before you make any decisions based on these reports, it’s important to understand the assumptions behind them… and the truth behind renting. The methodology behind many of these reports assumes that renters have
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If you’re a self-employed individual, it’s especially important to speak with a licensed mortgage loan officer before filing your taxes. This is to ensure you’re making the right financial decisions. If you’re considering buying a home, utilizing your tax refund as a down payment can have numerous benefits. For that, let’s discuss the importance of
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