First-Time Homebuyers
Did you know… Even if you’ve owned a home in the past – you are considered a “First-Time Homebuyer” if you haven’t had ownership interest in a property within the previous three years?
Most people don’t know this! But yes! After 3 years, all of the First-Time Homebuyer benefits come back to you!
- Low down payment: 3% on conventional loans and 3.5% on FHA loans
- Did you know that non – first time buyers only are required to put down 5% on conventional and 3.5% on a new FHA Owner-Occupied Residence
- Down Payment Assistance Programs (with qualifying credit scores)
- Up to 3% towards down payment and up to 3% towards closing costs
- These are “silent 2nd and 3rd” mortgages that will be on Title but do not require you to make a payment until you refinance or sell the home
Buying vs. Renting
- Did you know that it can sometimes be harder to qualify for a rental than buy a home?
- When renting, you are required to make 3x the rent (in most cases), pass a credit/background check for each adult living in the rental home, find a place to rent (which can be tricky), and then beat out all other applicants (who may look better on paper than you)
- Most rental properties want you to have a higher credit score than is even required to buy a home?
- Sometimes required is first and lasts month rent PLUS deposit
- Depending on how high the rent is, you may have enough already saved to purchase a home with the help of a Down Payment Assistance Program
- Why pay someone else’s mortgage/ownership expenses, when you could be investing that money into your own property and building equity?
- Certain tax write-offs! (talk to your tax professional)
Benefits of Homeownership
- Stop wasting money, paying for someone else’s mortgage/ownership expenses!
- Investing in your own piece of property
- Peace of mind and stability with your housing situation
- Able to make improvements and changes to your living space
- Building appreciation (home value’s have a historical trend of increasing in value over time)
- As your value grows and your mortgage decreases, you are building Equity, which you can tap into for any reason!
- Tax benefits (talk to your tax professional)