So, you’ve decided it’s time to buy your first home. It’s a wonderful idea, although the whole process can sometimes feel like trouble. Folks that have gone through it know the drill. You’re in need of some useful advice, believe us. That’s where we come into the picture. There are certain advantages to being a first-time home-buyer. In the article below we’ll give you a quick guide on first-time home-buyers benefits. Stay tuned for some helpful tips.
Do I qualify?
Even though it seems kind of absurd to pose a question about what being a first-time home-buyer really means, things aren’t so black and white. So what does it really stand for? Being a first-time home-buyer doesn’t mean you haven’t owned a single property your whole life. Regularly – it means you haven’t owned the place where you live in the past three years.
Different types of first-time home-buyer loans
There are different types of loans you can qualify for when being a first-time home-buyer. The ones we’re going to list are probably the most popular ones.
This one is for folks that have a low credit score. If you want to qualify for a lower down payment (3,5%) you’ll need a score of 580 or higher. On the other hand, if you want to quality for a 10% down payment your credit score can go as low as 500.
The Veteran’s Affairs loans are given to service members, veterans, and surviving spouses. They usually require no down payment and are very generous.
The USDA loan also usually requires no down payment, although you’ll probably need a credit score over 640. Now, there’s no need to panic. With the right documentation, you’ll be given this loan even with a lower score.
In addition to the federal ones, state programs also provide some financial help. Local governments all around the US are helping first-time home buyers.
Hiring pros to do their work
Let’s say you’ve found the house of your dreams in Miami, Florida. You’ve also found a great mortgage plan. The thing is: you are two state borders away from it. Nothing to worry about, trained people can handle this. They’ll make sure you and your belongings settle in Miami as smoothly as possible.
Some additional info
You may wonder why whenever you see someone mentioning a down payment there’s always the talk about the 20%. Well, it’s because paying a 20% down payment gets you out of paying the mortgage insurance every month. Pay close attention to that, because the insurance can cost you much. A piece of friendly advice at the end: when you finally buy your first home, feel free to check guys at miamimoversforless.com, movers with experience. You’ll need a pair of helping hands when the whole ordeal begins.
That’s about it. These were some of the first-time home-buyers benefits. Best of luck with your future plans.