Do I need a Down Payment?

The answer is Most Likely.


We are partnered with some Local Lenders in town that offer No Down Payment Finance option. If you are interested in this program give us a call and we help point you in the right direction.

With most Lenders in town and Federally backed loans such as FHA, VA, City Grant Programs, Etc.. They all require some type of Down Payment from you the buyer.

 

FHA loans are the most widely used loan program in our market. Their relaxed credit restrictions and credit score requirements make them the program of choice. These loans require that the buyer have a 3.5% Downpayment. This downpayment can be funds in a Checking/Savings Account, a 401k, Stocks/Bonds, or even a GIFT from a Family Member. Some restrictions apply if you are using funds in any of these accounts or gifts. Please check with us or your Lender to ensure these funds can be used. FHA loans will allow up to 6% seller Concessions to be used toward your Closing Costs.

 

Standard Conventional Loans are loans that require anywhere between 5%-20% of the purchase price as a down-payment. These funds normally cannot be a gift from family but have to be in the Buyers account and able to be verified with a No- touch policy of 60 days or more.

 

Your Downpayment is in addition to your Closing Costs. With a Conventional loan, they normally allow up to 3% of Seller Concessions to be used towards the buyers Closing Costs.

 

If you need help or information on Loans in our market, Please give us a call or email us for more information. We have an In- House lender and experienced Agents that can help answer any of your Financing Questions.