Minimum Down Payment On Different Loan Programs...

 I wanted to give you a brief updated summary of various loan products and the minimum down payment for each…

Loan Programs…

VA loan: No down payment necessary. No monthly MI. This is the best loan going if you can qualify for it.

USDA: No down payment necessary. Low monthly MI. Mainly for rural areas or outlying suburbs. Has geographic and income restrictions.

FHA: The minimum down payment is 3.5%. Great rates, has upfront and monthly mortgage insurance.

Conventional: 3% down for first time home buyers, and 5% for non first time home buyers.

The bottom line:

1) If you have less than 5% to put down VA and USDA are best if you qualify for them. Otherwise FHA is a wonderful loan program – very friendly to the borrower.

2) If you have 5% or more to put down you can get a Conventional loan, and you will have multiple loan choices.

Have a good day today!

…and thanks for reading.

Brett.

Get Pre Approved For A Loan Here
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Advantages Of Buying House From Relative...

 I had this situation come up again last week, and I wanted to address it again with you…

Did you realize that when buying a house from an immediate family member – the buyer doesn’t have to come out of pocket for a down payment? (As long as it’s a owner occupied residence for seller and buyer.)

…this is because the guidelines allow the seller to “gift” equity to the buyer.

So, the down payment can be a gift from the seller. …in addition to this, the seller can also pay the buyers closing costs, and pre paid expenses (taxes and insurance).

That’s it for today!

Have a good day today! …and thanks for reading.

Brett

 

Get Pre Approved For A Loan Here
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Other Options For Getting Cash Out Of Your Home...

 For the longest time we have been limited in our options if you wanted cash out on your owner occupied home in Texas.

If you wanted a fixed cash out loan it had to be a conventional loan and you needed at least a 620 credit score.

We are getting some products that give more choices if you want to get cash out of your home.

We now can do Texas Home Cash Out Loans using alternative documentation to prove your income.  Such as bank statement deposits.

We can even go down to scores as low as 600, and you can have a Bankruptcy, Foreclosure, etc as long as they are greater than 12 months old.

So, if you or someone you know needs cash out of their home, have them give our offices a call.  We will be happy to help you.

Thanks for reading!

Have a great day!

Brett

Get Pre Approved For A Loan Here
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