Searching For First Time Home Buyer Programs?
First time home buyer programs usually come in the form of incentives and tax credits that first time home buyers can take full advantage of. But first,they have to be qualified. There is the Business Assistance Act of 2009 that covers a person for a first time home buyer credit when purchasing a home for the first time as a permanent resident; this took place during the period of January 1st, 2009 to April 30th, 2010.
The National Association of Builders has hosted a website by the name of federalhousingtaxcredit.com, which offer first time home buyer programs. The site is loaded with information and provides assistance to first time home buyers, military personnel and even repeated home buyers. You can check their resource center that can link you to many other agencies such as, Freddie Mac and Fannie Mae loans, FHA loans and VA loans.
There seems to be a myth out there that many lenders don’t have any desire to corporate with first time buyers because they are unable to create a track record, and probably rather stick with those that have already purchased a home in the past. The financial agencies have gone beyond their mode of business and are now welcoming first time home buyers. Those who do not qualify for these government programs may seek a mortgage lender whose rates are affordable to meet the down payment requirement. Avoid choosing a Lender who has been severely impacted by the sub prime mortgage crisis.
First home buying can be a very complex process for some people, as well for those who have gone through the process before. For most first time home buyers this process can even seem impossible. However, there are first time home buyer programs (grants) for individuals who have specific income limitations. Here is a guide and a few tips which you can refer to.
- One of the things that will go a long way is having a good credit. Most financial institutions will require an applicant to have a track record of borrowing money and have paid back in the time specified. So if you don’t have a credit reference it is advisable to get one.
- You can create a quick credit reference by depositing a small sum of money into a local bank probably $500-600, you would then apply for a loan for whatever the amount you deposited using it as security. This is a legitimate way to have a seemingly good credit reference/report.
- Develop a financial plan to which you can refer to as you go along; this will enable you to accomplish your goal faster and efficiently. Here is an example, your goal should involve saving 25% of the purchased price as your down payment, there are many first time home buyer programs that would accept less than 25% down payment, and some even ask for 5%.
The above information can work to your advantage and also give light to the whole scheme of things. Buying a home for the very first time should be a well thought out plan, as no one wants to pay more for a house than it’s really worth. So, in order to get your money’s worth or a good deal,research the market value in the area you’re interested in. By researching, you’ll have a database of comparable properties, those that are overpriced and those that are under priced. The advantage of purchasing a home when it’s under priced allows you to gain instant equity on your property.
Hope you will use these recommendations and take advantage of these first time home buyers program. They exist to assist you in making the dream of home ownership a reality.