Mortgage Lending Library
Turn to Down Payment Assistance To Buy Your First Home
To buy a home, you need a down payment. This is a portion of the total price of the home that is payable upfront. The larger the down payment you can afford, the smaller the new home loan you will need. This can make your new home loan far more affordable. Unfortunately, many new homeowners have trouble coming up with down payment money at all. There are number of down payment assistance programs that can help you if this is the case for you. Down payment assistance comes in three types: grants, second mortgage loans, and deferred loans. Grants are usually small amounts of money that do not have to be repaid. If you qualify for assistance from your city, state, or federal government because you are a low-income taxpayer, you may qualify for a grant. Deferred loans are a type of second loan that is used for down payments. This solution gives homebuyers money for a down payment, but payments on the loan only have to be made after a period of time. This allows homeowners a grace period to adjust to the payments on their new home loan before having to make any additional payments. If you can afford a loan, but just need some time to adjust to your new home loan, this type of down payment assistance may be for you Most homebuyers opt for a second mortgage home loan when they need money for down payments. Second mortgages come with slightly higher interest rates, and are based on the same principles as a new home loan. Repayment begins right away, and can be lumped together with a new home loan for one easy payment. Whether you need a mortgage home loan, new home loan, or another solution, call Lowest Mortgage Rates today at 1-866-747-0627 or fill out a simple online application. Lowest Mortgage Rates will help you find the financing solution that is right for you. Plus, Lowest Mortgage Rates works very hard to ensure that you get the most affordable financing solutions possible, so that you do not end up paying too much for your home.