Low down payment to buy a home, I mean. So, what is the minimum amount of money you need to become a homeowner? Believe it or not, it doesn’t take much. There are just enough low down-payment programs for most borrowers, including those who are buying in the over-a-million-dollar range. For loans in the $424,100 area, even 1 percent is possible. In the million-dollar range, 10 percent down is considered a low down payment.
Take a look at the summary chart below. You can see there are a number of low down-payment programs available. Just be mindful that each lender has their own specific underwriting guidelines that go along with each program, as well as tiered mortgage rates based on credit, income, down payment and size of the loan. A good mortgage professional can help you navigate the program choices and set you up to become a homeowner.
FTHB: First-time homebuyer BPMI: Borrower-paid mortgage insurance LPMI: Lender-paid mortgage insurance SFR: Single-family residence Equity Boost: Lender’s contribution
There are plenty of variables that you can play around with in order to achieve homeownership. Between some savings, seller’s concessions, lender contributions and maybe even some gift money from family, you too can become a homeowner.
Carl Guzman, NMLS# 65291, CPA, is the founder and president of Greenback Capital Mortgage Corp. a Zillow 5-star lender http://www.zillow.com/profile/Greenback-Capital/Reviews/?my=y. He is a residential and reverse mortgage financing expert and a deal maker with over 26 years industry experience. Carl and his team will help you get the best mortgage financing for your situation and his advice will save you thousands! www.greenbackcapital.com
By Carl Guzman