Buying your first home is always a massive undertaking. It is a process that comes with a lot of paperwork, worry and financial responsibility. If you are going through this for the first time, you may not be aware of the support options that you could be eligible for.
Federal Housing Loans
Find out if you could be eligible for a Federal Housing Administration Loan (FHA Loan) if you know that you will struggle to make the down payment on your loan. Remember that you do not need a high credit score to qualify for an FHA Loan, but the cost of the home must be low enough to meet the FHA Loan limit. Be aware that you will pay a mortgage insurance premium if you take this loan, and it will be included in your mortgage payments.
Benefits For Teachers
Look for any benefits that you could be eligible for if you are a teacher. Take advantage of special offers loan providers offer on home loans for teachers, such as the Good Neighbor Next Door Program, which offers 50% off the list price of the home courtesy of the Department of Housing and Urban Development, or the Teacher Next Door Program, which offers down payment assistance grant. Remember that many states offer state and local mortgage programs that teachers can apply for. Talk to your loan provider to see if they offer any additional benefits.
Benefits For Veterans
Apply for help with your home loan if you are a military veteran, an active service member or the surviving spouse of a military veteran. Research the different loan support options available to you, such as a purchase loan which gives you a competitive interest rate without needing you to put down a payment or taking out private mortgage insurance. Apply for an adapted housing grant if you need to either buy or build a home to account for a disability. Remember that you will need to meet the eligibility requirements to apply for the support before you take out a home loan.
Find The Repayment Structure That Works For You
Look at the different loan repayment structures available to ensure that you can meet the terms and conditions of the home loan. Take out a fixed rate mortgage if you want the predictability of the same payment every month. Look at a floating rate mortgage if you know that your income will increase during the term of the mortgage.