A Great First Time Buyer Option
March 10th, 2008 categories: Buyers
I had a dinner the other night with a friend who has been wanting to buy for a long time.
They, like many buyers that have been waiting for a while and were frustrated with all of the hoopla that has been going on that is making it more difficult to buy at this time. We now have homes that are affordable, but restrictions are making it hard for them to get in.
I want to let you in on a great program that could really help you at as a first time buyer. It is called an…
FHA loan. As you know, most of what we knew of 100% financing programs have dissapated meaning that if you want to buy then you will most likely need to put at least 5% down. That can be A LOT of money when the average home in the area is over $400K.
Currently, FHA loans will allow you to purchase a home up to $729,750 (this amount can vary depending on where you are buying). The good news is that they only require a 3% down payment and that money can be gifted by a family member or employer. Also, they are not as strict on credit issues.
What if you don’t have 3% to put down?
Good question. There are a few programs out there that can help. The largest one is called the Nehemiah Program. Not exactly sure where the name comes from (it sounds Biblical). Either way they allow you to have the SELLER credit you the 3% deposit to buy their home.
Will a seller do that? The truth is that it depends on the seller, but with homes selling for much lower than the asking price at this time I would say you have a good shot on many homes.
Honestly, when it comes to these type of transactions, you will need a GOOD REALTOR to work the magic. Don’t worry, it is completely legal.
To verify this information you could check out more at these sites.
If you are interested in buying and need an experienced Realtor you can contact me.
I have experience working with many first time buyers in Arlington, Falls Church, Mclean, Fairfax, Reston, Vienna, Ashburn, Leesburg, and other areas. I would be happy to assist you.
; ?>/images/MatoChiclet.gif)
[…] There is no new construction in Farmwell Hunt so lets take a look at how well the resales are going. If you haven’t noticed from driving around lately there are UNDER CONTRACT signs everywhere! Homes around the 400k range and below are selling quickly thanks to great rates being offered through FHA financing. […]
[…] A Great First Time Buyer Option […]