10 Loans and programs for Houston first time home buyers
Hi there, thanks for stopping by. Today we are sharing with you a combination of 10 loans and programs that are available for first time home buyers. First on the list is:
FHA loan - If you have a credit score of 500-579 you will qualify with 10% down payment. With a credit score 580 you will need only 3.5% down payment.
My First Texas Home (MFTH) – This program is for buyers that have not purchased a home in the past 3 years. It offers assistance of up to 5% of the loan amount. For example, a home for 200,000 would result in assistant amount of $10,000.
USDA loan – Does have an income and loan amount limit. Loan amount limits are based on the county you are buying into. In addition, the location of the home does matter. A credit score of 640 or higher is needed to qualify for this loan. Speak with your loan officer.
VA loan – comes with lower interest rates, no PMI and requires no down payment. Credit scores are determined by each individual lender. VA itself does not require a credit score, but your lenders will.
Good Neighbor Next Door - is a program that benefits law enforcement officers, firefighters, emergency medical technicians and pre-kindergarten through 12th-grade teachers. Qualified buyers can receive a discount of 50% on a home, in any regions known as “revitalization areas.” However, you must commit to living in the home for at least 36 months.
Fannie Mae or Freddie Mac – In addition to a 3% down payment, a credit score of 620 or higher is required. Your credit does need to be clean. Debt-to-income ratio can be as high as 50%. Also, because you will put less than 20% down, you will still need to pay PMI, however, you may be able to get it canceled once loan-to-value drops below 80 percent.
Home Path Ready Buyer Program – Is geared toward home buyers that are interested in foreclosed homes, once you take the required online home-buying course, you can receive up to 3% in closing cost assistance.
Energy-efficient mortgage – if you are interested in making green upgrades to the home you plan on buying, this type of loan lets you track the cost of energy-efficient upgrades, all without a larger down payment.
FHA Section 203(k) – Thinking of buying a fixer upper? This loan allows you to roll the cost of the improvements into one loan along with the primary loan, providing the improvement amount is more than $5,000. In addition, you still only need a down payment of 3.5%.
Texas Mortgage Credit Certificate Program (MCC) – You must meet the income requirements which vary by county. The amount you receive will depend on total household income. In addition, the home must be your primary resident.
If it matters to you, it matters to us. We at First Home Houston is always looking out for your best real estate interest. As always, we thank you for stopping by. Until next time… Diana.
