Buying a home can be scary until you know the facts! One major fact is you do not need 20% down to buy a home. I just had a phone call this week asking about that – the client’s dad told him he needed 20% down and I told him that was wrong. His dad thought we would only finance 80% of the purchase price and he would need a second mortgage for the remainder.
So many people think they need high credit scores and 20% down. That is not true- many people buy with as little as 3% down. Some are able to qualify for VA or USDA loans and buy with zero down. I have had many clients with credit scores in the 600’s buy homes. Granted the higher your score, the better for you – lower rates, lower mortgage insurance, easier to get approved – sometimes! If you aren’t sure about your situation, contact a loan officer. Maybe you can’t buy today, but we can help you figure out when you can buy and what you need to do.
This is a terrific time to buy as interest rates are low and home prices are good. We know both will probably increase in the next year which will affect what you can afford.
Leslie Vanderwerf, NMLS ID#335509, AMEC Home Loans, An Equal Housing Lender, NMLS#150953 – Email – Website
*photo from Keeping Current Matters
