Intro:
The dream of buying our own house can be realized only when there is adequate cash in hand. So many people feel wary of bringing up the idea of buying a house to surface. But the fact is that there are a lot of financing options available that can turn your dream into reality. The problem is that people are not aware of the vast range of options available as far as financing is concerned. Scroll down to know the financing options available when you have less to no money.
Best Financing Options For House:
First time home buyer program:
There are a lot of government and bank policies that protect the interest of the first time home buyers and to take care of their financial needs. These policies are designed in such a way that every person with an average monthly earning gets a chance to build and own a house. This also includes a ‘HomeReady program’ which applies to low-income neighborhoods.
Credit Union Financing:
Credit Union Financing has set of policies, and the borrowers are expected to fulfill the same. If the borrowers satisfy the conditions, they become eligible for loans that demand no or low down payments. Various policies are governed by Credit Union Financing that offers with potential zero-down financing.
FHA Program:
FHA stands for Federal Housing Administration. It has been offering a lot of advantageous policies since 1934. Most of the bankers who offer to provide housing loans look for credit worthiness of the borrower. In most of the cases, the borrower is expected to place some collateral to get his loan sanctioned. But people who seek loans through FHA programs get the amount even in the absence of credit.
VA loans:
VA stands for Veteran Affairs. They are loans offered by the US Department of Veteran Affairs. Here the term loan doesn’t refer to actual loans. The VA doesn’t make loans itself instead guarantees mortgages. These mortgages have to be made by qualified lenders. Since the VA provides the guarantee, the borrowers can now obtain loans as per their preference under favorable terms.
USDA loans:
The USDA loans are also known as rural loans. As the name self-explains the loan is not available to homes that are located in specified urban areas. These loans are provided by the US Department of Agriculture. The important criterion is that the borrower should not already own a house. The only disadvantage is that mortgage insurance is not available for these loans.
After finding the right mortgage option that works best for you, remember to find the right house that best fits your budget. One key thing to keep in mind is to look at the curb appeal of the home you are considering. If the property is in bad shape you might need to consult Wichita roofers in your area. Look for damage to the roof and other major areas of the home that are expensive to repair.
