Did you know that there are loans that might be catered to your specific needs? These types of loans are great because they are built for people of like financial situations and home buying experiences. The market is set up for buyers of different shapes and sizes to be able to own a piece of the American dream. Below are three types of loans that are great for first-time-home-buyers or those with not a lot of cash on hand:
-United States Department of Agriculture Loan (USDA)
Certain areas are classified by the USDA as rural, and if a home you want to purchase is in an area labeled as such, you can finance the entire purchase price of the home. You read correctly, the loan requires a down-payment of 0%! "Rural" doesn't always mean that your neighbor will be a cow or pig (in the literal sense, of course); rather, it means the area is not developed to the extent that would classify it another way. Click here to see the areas currently classified as rural. You may be surprised!
-5% Conventional Loan
This loan enjoys the same perks of the more well-known 20% Conventional Loan but only requires a down-payment of 5% of the purchase price of the home. The buyer is responsible for paying monthly private mortgage insurance (PMI) until they own 20% equity in the home, and then they are eligible to drop that payment. Although your monthly payments will be slightly more due to PMI, you can purchase a home without having a ton of cash on hand for a down-payment.
-Federal Housing Administration Loan (FHA)
This loan only requires a down-payment of 3.5% of the purchase price of the home. Talk about not needing much cash! The buyer is responsible for paying monthly PMI for the life of the loan. Although this may not seem ideal, it is a great alternative if you want to save your cash for closing costs, home repairs, furniture or other personal needs. If you can afford the monthly payments including PMI now, you can likely plan your budget accordingly for years to come.
There are plenty more types of loans out there that you might be eligible for that you haven't even heard of. For more information on obtaining a mortgage and starting the first step of the home buying experience, reach out to one of the hardest-working mortgage companies I know- Movement Mortgage, and tell them Jackie sent you! Their contact information can be found below:
Movement Mortgage
Paul Massey- 407-803-2748, paul.massey@movementmortgage.com
Jeff Donaldson- 407-421-0420, jeff.donaldson@movement.com
"Where the Magic of Disney meets your Real Estate needs."
Are you ready to start looking for the perfect home? Contact Jackie at 941-356-3956 or jackievoigt@kw.com now!
-United States Department of Agriculture Loan (USDA)
Certain areas are classified by the USDA as rural, and if a home you want to purchase is in an area labeled as such, you can finance the entire purchase price of the home. You read correctly, the loan requires a down-payment of 0%! "Rural" doesn't always mean that your neighbor will be a cow or pig (in the literal sense, of course); rather, it means the area is not developed to the extent that would classify it another way. Click here to see the areas currently classified as rural. You may be surprised!
-5% Conventional Loan
This loan enjoys the same perks of the more well-known 20% Conventional Loan but only requires a down-payment of 5% of the purchase price of the home. The buyer is responsible for paying monthly private mortgage insurance (PMI) until they own 20% equity in the home, and then they are eligible to drop that payment. Although your monthly payments will be slightly more due to PMI, you can purchase a home without having a ton of cash on hand for a down-payment.
-Federal Housing Administration Loan (FHA)
This loan only requires a down-payment of 3.5% of the purchase price of the home. Talk about not needing much cash! The buyer is responsible for paying monthly PMI for the life of the loan. Although this may not seem ideal, it is a great alternative if you want to save your cash for closing costs, home repairs, furniture or other personal needs. If you can afford the monthly payments including PMI now, you can likely plan your budget accordingly for years to come.
There are plenty more types of loans out there that you might be eligible for that you haven't even heard of. For more information on obtaining a mortgage and starting the first step of the home buying experience, reach out to one of the hardest-working mortgage companies I know- Movement Mortgage, and tell them Jackie sent you! Their contact information can be found below:
Movement Mortgage
Paul Massey- 407-803-2748, paul.massey@movementmortgage.com
Jeff Donaldson- 407-421-0420, jeff.donaldson@movement.com
"Where the Magic of Disney meets your Real Estate needs."
Are you ready to start looking for the perfect home? Contact Jackie at 941-356-3956 or jackievoigt@kw.com now!
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