Down Payments Made Easy
Published: September 2017
Author: Bank of England Mortgage Staff
When it comes time to purchase your first or third home, having the funds for a down payment can be one of the biggest hurdles. But it doesn't have to be. There are many different types of loan programs available to you.
To list a few, here are the common ones like Conventional, FHA, VA and USDA that allow low or no down payment options, however, a Down Payment Assistance Program may be available to help fund your down payment. We understand from time to time, we all need a helping hand.
At Bank of England Mortgage, we offer Down Payment Assistance Programs through HUD and the local state authority. Assistance is available for down payment and closing costs through multiple programs. We also have relationships with outside investors, where we can offer lower credit score programs as well. That's something that helps a lot of first time homebuyers qualify for mortgages.
The U.S. Department of Housing and Urban Development (HUD) provides grants to state and local organizations. A DPA grant decreases homebuyer costs, avoids burdening the homebuyer with additional debt and eliminates property liens associated with secondary financing options. The grants are designed to help eligible buyers bridge the gap between their savings and the required down payment for a mortgage. In a lot of cases this money doesn't have to be repaid.
It's common to think that 10% down or more is needed to buy a home. With the options available to you today, that's just not true. In fact, the average down payment for first time home buyers today is just 6%. Don't get "stuck" trying to raise enough down payment money. An overwhelming 87% of homes are eligible for some kind of assistance, but few home buyers apply. Get in touch with your local branch to get started on your way to becoming a home buyer!
Contact a knowledgeable mortgage lender that have the resources and programs to assist you in all aspects of your home buying journey, it could save you thousands. In some instances gifts are allowed as down payments from family, friends, employers, etc.
If you have any questions at all in regards to home mortgages, please don't hesitate to contact BOE Mortgage!