Scenario #1: I have no or little money to put towards a home.
There are a variety of home loan programs offered to help you keep your money in your savings. Our goal is to find you a home loan that best fits your financial situation. Below is a list of options with low or no money down:
- Pay as little as 3% down with these programs:
- Conventional – among the most popular and allows low money down towards purchasing a home.
- FHA – a government-back mortgage created to help more Americans better afford homeownership. Pay low money down with competitive interest rates.
- HomeReady – great for first-time homebuyers with low-to-moderate income who also need a low down payment.
- Jumbo – specifically for homes valued over the conforming loan limits for the financing options listed above but still offers low money down. For example, FHA loan limits are usually $484,350. Though, certain high cost areas will have a higher mortgage limits, such as New York City and Los Angeles.
- Pay no money down with these programs:
- USDA – want to live in a rural area and also enjoy no money down towards your home? This program may be for you!
- VA – have you served or are currently serving in our military? Active duty, veterans, and surviving spouses are offered no money down, low interest rates, and no PMI as a special thank you for your service.
- Looking for help towards your down payment? One of our mortgage consultants can help you check if you qualify for any down payment assistance programs in your area.
Scenario #2: No, low, or blemished credit, can I still qualify?
You’re not the only one, and believe us when we say you have options. Your FICO credit scores play an important role when purchasing a home. Have you checked your credit report lately? Whether you have credit card debt or poor credit history, it is easy to become deterred when even thinking of buying your first home. Luckily, we've made finding the best loans with "bad" credit easier than you think. Can you get a mortgage with bad credit? Below are a couple of options you have:
- Mortgage loans available with as low as 500 FICO:
- These home loans have more relaxed credit guidelines and may be easier to qualify for credit-wise
- Co-borrowers with good credit can help you better qualify, even if they don’t live with you
- Work with one of our experienced mortgage consultants to help you boost your credit in no time
Scenario #3: Tired of paying high rents but want the luxuries of living in an apartment?
Why build your landlord’s equity paying towards their mortgage when you can build towards your own? Get the best of both worlds by buying a condo, town home, or single-family home in a planned unit development. Owning a home comes with maintenance, but with a condominium, town home or planned unit development, much of the larger maintenance projects like roofing, foundation, lawn care, and landscaping, etc. are taken care of by the Homeowners Association (HOA). All HOAs work differently, so make sure you fully understand what your responsibilities are before committing to purchasing a condo, town home, or planned unit development property.
With the rise in popularity of luxury apartment living, many of these complexes offer the same amenities like an on-site gym, swimming pool, club house, dog park, playground for the kids, and much more! Majority of these properties will have a wide variety of financing available, like low money down. So, what are you waiting for? It’s time to ditch your landlord.
Scenario #4: I don’t want an older or previously-lived in home.
Who wants used if you can have brand new? We offer new construction home loans, and many of our mortgage consultants have established relationships with builders to help you find the right community. Watch your first-time home buyer dreams come to life by purchasing a new construction home.
Scenario #5: Older homes are more affordable for me, but I don’t have the money for repairs and upgrades.
A home should be enjoyable, not stressful. That’s where renovation home loans come in. They aren’t just available for people who already own homes—if that’s what you’re thinking. Purchase your home with a renovation home loan program and add the money you need to make repairs or upgrades to the loan balance.
The FHA 203k home renovation loan offers low money down too, so you can focus putting your money towards making the home your own.
Scenario #6: I have student loans or other debt, can I still qualify?
First and foremost, a mortgage consultant would have to take a look at the types of debt you have as well of how much of it. There are different types of debt, and some count more harshly against you than others. Debt is a part of life and should never keep you from aspiring to becoming a homeowner.
Life happens, and you do have options. When looking to purchase a home with some debt, it is important to understand your debt-to-income (DTI) ratio and how its calculated. DTI requirements vary from loan-to-loan. For instance, DTIs are usually lower with FHA versus conventional. Student loan debt is also calculated into your DTI, regardless of your payment status such as in forbearance and deferred, and it will also be calculated differently depending on the loan option qualifying.
Before you start squirming in your seat and decide not to purchase a home because of debt, contact us. We guarantee we can help ease your mind by laying out your options and provide options towards getting your debt to less of a burden.
What fits your scenario? Owning a home is possible, and it all starts with finding the right mortgage lender. Get started on your path to home ownership today.