by Jeff Ragan
Zero down home loans are discussed here...
Zero down home financing is hard to find. Discover true no money down home loans saving you money. These are very cool programs. Below I'll explain these programs and provide a link to help you find them.
As a first-time home buyer, you no doubt have questions about zero down home loans. Some people wonder if they still exist. I'm happy to tell you that they are still available.
Today, the mortgage market is much different than back then. In fact, it takes a great deal more to qualify for a home loan even if you have a down payment. Many lenders today do not offer zero down home loans. In fact, a great deal of lenders are asking for down payments up to 20%.
However, as a first-time home buyer, you still have options. Fear not! A very popular mortgage for first-time homebuyers is the FHA home loan. Now this loan requires a 3 1/2% down payment. If you have a creative loan officer, you can still work a deal with no money down using down payment assistance or grants.
But that is not the subject of this page. I would like to share with you a way that you can get a true zero down home loan. Furthermore, I want to show you how you can even get the federal government help you make your house payments. Can it get any better than that?
Just a few years ago in 2008, there were many different loan options where people could buy a home with no money down. There was the 80/20 loan, which consisted of two mortgages, one for 80% and the other for 20% of the loan amount. Homebuyers with halfway decent credit could buy a home with zero down payment.
So let's get started. Where can you go to find zero down home loans? As you may know, there are a great number of down payment assistance programs. There are grants and other programs to help you with your down payment on your first home.
For many people getting access to this information is difficult. Some have paid hundreds of dollars for this kind of stuff. I'm happy to tell you that your search is over.
As a taxpayer and a first time home buyer, you need good reliable information. Did you know that there are dozens of buyer incentive programs available to you?
What if I told you, there was a government program that could guarantee your home loan to the lender? In fact, this program guarantees a zero down home loan and can help you with your monthly house payments if you qualify.
Furthermore, what if I told you that this guaranteed home loan could help you buy a house outside the city? Would that be something of interest to you?
If I could show you a way to buy a house out in their rurals away from all the hustle and bustle of the city life, would that be helpful?
Imagine a home loan, where you do not have a first and second mortgage, you do not have to qualify for a grant or even use down payment assistance programs. Try to imagine a federal government home loan program that is just one loan, has a great interest rate and fairly easy to qualify for with no down payment.
The federal government uses a taxpayer funded program to guarantee the repayment of these loans to the lender. These rural housing lenders are more comfortable approving zero down home loans than they are for conventional loans that require up to 20% down payment. Why is that? The Federal Government guarantees that you will make your loan payments.
There have been a lot of changes in lender guidelines in the past few years. For example, FHA home loans are very good loans for first-time homebuyers. However, FHA has changed the guidelines.
They have increased the down payment requirement to 3 1/2%, they have increased the monthly mortgage insurance premium or MIP from 1/2% to 1 1/2%. This causes your house payments to go up, plus it increases your loan amount when you finance in the initial mortgage premiums.
So, who qualifies for zero down home loans? Most likely many people today. We have a great deal of moderate to low income families who are looking for a new home. If you can meet the income guidelines you can use this wonderful program.
If you are at this website, you are probably a first-time home buyer. So I'm certain you would like help with a no money down home loan.
First of all, it must become your primary residence and you do not own a home right now. The home you purchase must be in good condition, as will be determined by the appraiser.
If the home needs some rehabilitation, the cost of this may be put in escrow and the repairs can be made according to the guidelines with a limit of $5000 total cost. Also repairs must be completed and pass a final inspection within seven days.
There are not many choices for 100% guaranteed rural housing loans out there today. But this loan program that I'm referring to is a true government-sponsored program with a 30 year fixed interest rate. This is the kind of thing many have found very hard to find, but now you have found it.
The home must be in a designated rural area. It has to be a single family residence. I have a friend that purchased a home with this program, and he was very happy.
Now let me share an experience with you. Below I'll provide a link so you can find these awesome programs!
Some good friends of mine had a really neat experience. His name is Mark. Allow me to share his story with you. He was a hard-working individual, and just needed a break. The home he was renting was simply falling apart. His landlord would not put any money into the house at all. All he would do is collect the rent check every month.
When it would rain, water would literally run down the walls in his bedroom. He and his wife and three children, needed a better place to live. So he did his homework, and he found that he could purchase a home with zero money down.
So once he found this fantastic government loan program, which by the way has been around for many years, he began his search for a house. It's just that many people do not know about it and the government does not exactly advertise it.
Every time he found a house that he really liked, he would have to pay for a home inspection. This was an approved inspector for this federal government program. Then the house would not pass. It had too many things wrong with it. The repair costs were too much.
So his search continued, he looked at more houses, paid for more inspections until he found the home of his dreams. If I remember correctly, he had to do five or six inspections before he found the right house. Each inspection cost him around $300 out of pocket. Please keep in mind this was several years ago.
But when he found that home, the one that suited the needs of his family, he was a happy man. His wife was not working. She was a stay at home mom. They had a single income for the household and it was not very much.
He met the income limitations of the program, the house was within the guidelines, and he purchased it with zero money down. His payments were based on his income so the Federal Government helped him make his payments for several years.
Now here we are, many years later, and he's still living in the house. His three children are now grown and have moved out, and it's just him and his wife.
The best part of all of this, he has realized the American dream. Home ownership, rather than renting. The house sits in a beautiful rural setting, has lots of land, a place to plant a garden and more. His interest rate is fantastic, and he has a great deal of equity even though house values have dropped. He still has a low house payment.
So it is possible to find programs like this!
Would you like to find these programs? Click on this link and you'll find them with a video to help you!
Here are several other no down payment home loans you may want to investigate.
Some other cool programs to check out are the FHA loan products.
If you don't meet the requirements for a zero down program, you may want to see what other assistance is available.
Go to House Buyer Solutions Home Page.