Home loan help from the government.
There are a number of different loan programs created by the government to help first-time buyers, military personnel and homeowners who are struggling to keep up with their payments. Mills42 works with different government agencies to provide our members with the government-backed assistance they need.
Traditional mortgage lenders usually require 20% of the home’s purchase price up front when buying a home. This is called a down payment. As an example, if you’re buying a $200,000 home, you would need a $40,000 down payment at closing.
For first-time homebuyers who may not be able to come up with a large sum of money for a down payment, there are government-backed loans available that require far less. With an FHA Mortgage your down payment can be as low as 3.5%. Additionally, most of your closing costs and fees can be included in the loan, so you won’t have a lot of “out of pocket” expenses.
If you’re buying a “fixer-upper” or need a loan to renovate your current home, FHA 203k Loans are designated for houses that are damaged or in dire need of rehabilitation. The loan covers the cost of both the property and the needed repair work, and the down payment requirements are also low.
For active-duty service members, veterans and some surviving spouses, a Veterans Administration (VA) home loan can be used to purchase or build a new home, refinance a current mortgage or repair/improve your existing home. The benefits to a VA loan when purchasing a home are many:
- No down payment is required
- There are no monthly mortgage insurance premiums
- Closing costs are minimal
- And an appraisal of the home being purchased is provided
Not a member yet? We’ll take care of that for you as you’re opening your account or taking out a loan. If you want to get a jump-start, enroll online or just give us a call at 978.328.5100. We’ll be happy to help you build from here.