It’s frustrating to have a decent-paying job, a bright earnings future and acceptable credit and still not be able to buy a home because you lack the thousands of dollars in cash needed for a down payment and closing costs. Down payment money is out there. Let’s find it!
The dreaded down payment stops more potential homeowners cold than any other aspect of the loan process.
If you read articles about down payment headaches you would think it’s only millennials who have trouble coming up with the funds. In reality, many people, particularly first-time home buyers, regardless of age, find it very challenging to save thousands of dollars to fund a down payment. This is especially true in the Fredericksburg, Virginia region as compared to many other parts of the country where the cost of living is lower.
There might be more down payment and closing cost help out there than you know about. In fact, we monitor a variety of programs designed to help potential home buyers (not just first-time buyers,) and there are many. Would you be surprised to learn that there are more than two thousand four hundred down payment assistance programs across the county? The number of programs vary greatly by state, and specific location.
For instance, if we do a quick search in Fredericksburg, Va. we see eleven home buyer programs. A search in more rural areas like Ruther Glen, Va. reveals there are eight home buyer programs available. We provide a free tool that helps uncover down payment assistance specific to your situation. Search now.
Among these home buyer programs, we find down payment programs, affordable first mortgages, tax credits, and various other home ownership programs. Often, it is even possible to layer these programs, making it potentially even more affordable to buy a home.
For instance, there are grant programs in Virginia that give 2% or more of the purchase price. That is a grant, it doesn’t have to be paid back. With this program you can also get a mortgage credit certificate which is a tax credit.
Many down payment assistance programs do have qualifying requirements. Some have income limits, credit requirements, and some do require that you be a first-time home buyer. Some are grants that do not have to be repaid, so are low or no interest loans. Some require a small amount of home ownership education.
So, if you are renting (which we know is just paying someone else’s mortgage) but you really want to buy a home, shouldn’t you at least explore your options? If saving the down payment is what is standing in your way, you should find out if there is help out there for you.
You may qualify for down payment help.
There are more than 2,400 different down payment programs to help homebuyers. And, for community service professions like nurses, police officer and teachers, there are often special programs designed to help you with your down payment and live close to where you work. Do your research early and get all your home financing lined up, including any homeownership programs or tax credits you plan use.