What Are The First Time Home Buyer Programs?

Like anything in life - you have to start somewhere. That is as true for home buying as anything else! It is important to know that you are not alone in this venture. There are many programs available for the first-time home buyer to help you get into that first place. The government, banks, and credit unions all benefit from people buying homes or condos.

There is little to no downside to buying a home

Research confirms that home-ownership is good for the economy and a community. It represents stability for the neighborhoods and allows the buyer to build wealth. There is simply little to no downside to buying a home. After the recent housing bubble burst lenders are much more cautious and the government has become proactive in ensuring the public is educated on the subject of home loans. There are many resources to help prospective buyers in the decision-making process.

Your income, expenses, down payment and credit score are factored into what you can afford

You should begin by figuring out what it is you can afford. There are many factors that must be considered including - but not limited to - your monthly income and household expenses, credit scores, and the down payment you intend to put down for the purchase. Too, you should shop for the best interest rate and a fixed versus variable rate is preferable.

The FHA is the go-to program for many Americans

The federal government is an excellent resource for first-time home buyer programs. FHA is the go-to program for many Americans that are buying their first house. The Federal Housing Administration is a great place to start - particularly for those who have less than perfect credit. That is because the FHA actually guarantees a portion of the home loan which allows the lender to be more understanding and offer loans with as little as 3% down.

The VA is the first stop for armed forces veterans

The Veterans Administration should be the first stop for those who have served in the Armed Forces. This is one of the ways that Uncle Sam thanks those people who have defended the country by offering them generous payment options that would not be available to civilians. The buyer may not be required to have any down payment or be required to have private mortgage insurance. This is a perk that veterans can and should utilize.

The U.S. Agriculture Department offers homebuyer assistance

Few people realize that the U.S. Agriculture Department also offers homebuyer assistance and you are not even required to live on a farm! The program is aimed at rural areas of the country however, and it can provide up to 100% of mortgage financing in some instances. The specifics of this program vary by location.

Freddie Mac and Fannie Mae make housing affordable

And don't forget Freddie and Fannie. Freddie Mac and Fannie Mae are both government lending agencies that have helped to subsidize housing and make it affordable for decades! Now is a great time for first time buyers get out there and shop for a mortgage and a home. To learn more about first-time home buying visit the website below.