Homeownership is still a viable opportunity and it truly IS a great time to buy! Yeah Yeah....you've heard us real estate agents and loan officers say this over and over but....it is true. Fortunately we now have loan programs in place that protect the buyer AND the lender. Guidelines are stricter but that is for everyone's benefit. And yes.. there IS money out there that the banks want to lend. Hard to believe?.....definitely if you believe all the media hype. Banks don't make any money by sitting on it....they need to lend it out! Perhaps they'd like to lend some money to you for a home! It is a fact that 90% of the loans originated today are FHA/VA loans which are backed by the federal government. Since the subprime mess, these safer loans have made a comeback. Read on and you will see why... FHA LOANS: 3.5% down, fixed interest rates, limited to no reserves, you don't have to have perfect credit , and seller's can contribute up to 6% toward the buyers closing costs. Downpayments for FHA can be: your own funds, gifts, down payment assistance program, and loans against your 401K. Additionally, if you cannot qualify on your own, you can have a "Non-Occupant Co-Borrower*". (*must be family by blood, marriage or law) VA LOANS: Even BETTER deal....No down payment, No PMI (private mortgage insurance), seller can pay up to 4% of closing costs, fixed interest rates, and again.......you don't have to have perfect credit! Literally...you can close the transaction with very minimal costs. I've done it! Regards, Lynn Soderquist-Brown, (619) 818 6926 Realtor & Certified Public Accountant (CA) |