There is great power in being a first-time home buyer, even though you may not feel like it.
For starters, you have access to special loan programs that can help you close a loan more quickly and less expensively than if you had already purchased a home before.
In first-time mortgage loans, you can expect benefits like lower down payment requirements, subsidized interest, and caps to the fees that lenders can charge you.
Lower Down Payments
First-time homebuyer loan programs often offer down payments as low as 0%-3% of the loan amount. Non-first-time loans can require a minimum down payment of up to 20%.
If you are a lower income buyer, you may also have the government or some other organization subsidize the interest paid on your loan. That helps keep your monthly mortgage payment lower allowing you to better afford a home.
Private Mortgage Insurance (PMI)
Some of these programs could require you to pay for private mortgage insurance (or PMI) which adds to your costs while still making the home more affordable.
Using a Mortgage Broker
Getting with a reputable mortgage company to get you pre-approved will be your best bet to find a program tailored to your situation, saving you lots of time and money.
We’d love to help get you into your first home, paying as little as possible. Give us a call at 801.542.0961!