DOWN PAYMENT ASSISTANCE
There are some spectacular little known ways to get large down payments grants and assistance from your local city, county, state in order to purchase your first home that I'm going to share with you in this article. Local cities, counties and non-profit groups receive funding, often from the federal government, to assist home buyers in purchasing their first home.These funds are not well known and only available through approved lenders such as www.sandiegodownpayment.com. These funds are made available to encourage home ownership for first time home buyers often have incomes that are at or below the median income for the county. The way it works is a first time home buyer contacts an approved lender such as www.sandiegodownpayment.com to discuss their qualifications. The lender representative will then talk to you about where you want to buy, pre-qualify you, and then match you up with the best down payment assistance program for that area. There are dozens and dozens of programs for many different areas. The next step is to submit your information to the best program for you and get an pre-approval from that program. Once that is completed the lender will approve you for a first mortgage for the remainder of the purchase price. At this point you will be ready to search for a house and make an offer to purchase. Once you have a property in mind, your lender can then officially have the money for the down payment program set aside for you. It's important to move fast as these special funds are given out on a first come first serve basis and they are not always funded. The down payments given by the Government bodies and non-profits are called "silent 2nd mortgages". You do not have to make any payments on them and they do not have to be paid off until you sell the home. The different organizations offering down payment 2nd mortgages often have different terms.Some are forgiven after so many years, some share appreciation, and some have interest that accrues. These homes have to be your primary residence and you cannot have owned a home in the last 3 years. Below are some examples of the power of using down payment assistance to help you purchase a house and keep the payments affordable: (table) $250,000 purchase price $75,000 down payment assistance $175,000 1st mortgage *$1,021 monthly mortgage payment $300,000 purchase price $90,000 down payment assistance $210,000 1st mortgage *$1,225 monthly mortgage payment $350,000 purchase price $105,000 down payment assistance $245,000 1st mortgage *$1,429 monthly mortgage payment *based on a 5.75% 30 year fixed loan As you can see, the power of down payment assistance is it keeps your mortgage payment affordable so you can comfortably make the payments on your first house. Additionally, these programs allow you to buy with ZERO down payment. These are incredible programs for first time home buyers and you should absolutely take advantage of them if you can. Please contact www.sandiegodownpayment.com for more information in getting started.
