Dreaming of owning a home but unable to save for a down payment? You’re not alone. Many potential home buyers face this challenge, but the good news is that you can still achieve your homeownership dreams even without substantial savings!
Step One: Understand Down Payment Options
Here are some loan options that require lower to no down payments:
FHA Loans: Federal Housing Administration (FHA) loans require as little as 3.5% down, making them a popular choice for eligible first-time buyers.
VA Loans: If you’re a veteran or active military member, you might qualify for a Veterans Affairs (VA) loan, which offers 0% down payment options.
USDA Loans: The U.S. Department of Agriculture (USDA) offers loans for eligible rural and suburban home buyers with 0% down.
Step Two: Explore Down Payment Assistance Programs
Many state and local governments offer down payment assistance programs. Here in North Carolina we have the North Carolina Housing Finance Agency (NCHFA) offering $15,000 down payment assistance–the NC 1st Home Advantage Down Payment–for eligible fire-time buyers and military veterans. There may be more programs in your local municipality. Here’s how to find and take advantage of them:
Research Local Programs: Determine what programs near you provide loans, grants and other assistance for closing costs and down payments.
Eligibility Criteria: Check the eligibility requirements, specifically income limits, property location, and home buyer education courses.
Combine Resources: Sometimes, you can combine or “stack” multiple assistance programs to cover more of your costs!
When you work with Leonetti Group, we provide our clients with a Support Network of resources that include lenders, as well as recommended local programs through organizations like Mountain Housing Opportunities and OnTrack Financial Counseling who are integral to helping locals in Western North Carolina become homeowners!
Ready to start your home-buying journey? Contact Leonetti Group today to speak with Jessi or Luiz, who will work with you to navigate your unique path to homeownership. Move With Purpose!
