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:
Get your copy of the First-time Home Buyer Guide for FREE.
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.
When you apply for an FHA loan or make a down payment of less than 20 percent on your conventional loan, you, the loan borrower, will have to provide mortgage insurance. Read on to learn about this in detail. Get your copy of the First-time Home Buyer Guide for FREE. Click here. Mortgage Insurance- What […]
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The rule of thumb is to make a minimum of 20 percent of the purchase when making a down payment. However, that doesn’t mean you have to postpone the dream if you can’t afford it. In fact, a down payment assistance program is one of the best and most feasible ways to start your homeownership
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Though renting a home may sound feasible and cost-effective at first, it’s a better idea to buy a home than rent it, especially in the long run. Home buying offers a bunch of benefits to people. Read on to learn the top benefits of buying a home over renting, whether you’re about to tie the
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Are you thinking of applying for a home loan? Do you want to realize your homeownership goal as quickly as you can? Then the good news is that several loan types are available for various homebuyers. So, whether you are a first-time homebuyer or buying a second home, you can find a home loan that
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Get your copy of the First-time Home Buyer Guide for FREE. Click here. Whether you are a widow or a divorcee first-time home buyer, lenders of a home loan or mortgage can’t deny or reject your application because of your relationship status. However, the ugly truth is that your relationship status can hurt or help
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Get your copy of the First-time Home Buyer Guide for FREE. Click here. If you thought home buying in California was impossible for you, you might want to think again. Through California FHA Home Loans, home buyers with poor credit scores and who need small down payments are given opportunities to realize their homeownership goals.
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