There are three loan programs available for homebuyers that require zero money down. With them, you can buy a home sooner than you think.
What are your mortgage options when buying a home?
Most people believe you need to have a huge down payment to secure a mortgage. Although having a large down payment would eliminate the need for mortgage insurance for some programs, there are three specific loans you can purchase that require no money down at all.
“These three loan programs can allow you to purchase a home sooner than you think.”
The first is the VA loan, which is administered by the Veteran’s Association. To be eligible, you must be a veteran of the armed forces. Aside from requiring no money down, this loan offers excellent interest rates and doesn’t require any monthly mortgage insurance.
The second is the USDA loan, which is administered by the US Department of Agriculture. Since this is a rural housing loan, the home you intend to purchase must be located within a designated area to qualify for it, and the designations can vary by county. Although there is an income limitation with this loan, its monthly mortgage insurance is minimal and it also offers great rates.
The third is the Utah Housing loan, which is administered by the state of Utah. It follows FHA guidelines, but as a state-sponsored second loan, it will pay for any down payment costs. Rates for this loan are set by the Utah Housing Authority on both the first and second mortgage, so they’re not as good as the VA or USDA loan, but they’re still very good. As with the USDA loan, there are income limits, and you will pay the full regular FHA mortgage payment each month. However, with zero down required, you can still buy a home now instead of wait years to save up for a down payment.
One of the chief concerns homebuyers have in our current market is missing out on the upswing of home value appreciation, but we’re projected to have several more years of big increases before we have a lull in the market, so you have many options if you want to purchase a home right now.
If you have any questions for Travis, you can call him at (801) 420-5600 or visit www.securityhomemortgage.com and message him there.
If you have any questions for me or are thinking or buying or selling a home in our market, don’t hesitate to reach out to me. I’d be happy to help you.