Save at Least $3,000 When Buying Your First Home!
If you're a first time buyer and short on cash make sure you pay close attention because I'm going to show you how to make your dream of homeownership a reality! There are several creative ways to dramatically reduce your out of pocket expenses when buying your first home. It all starts with finding a good lender that is licensed as a broker and a lender. This is key to getting the best interest rate because a broker/lender will have more lending options to meet your specific needs.
Another important factor in finding a good lender is their ability to provide accurate numbers. You'd be surprised at how "OFF" the closing cost numbers can be when you're working with the wrong lender. We're talking about thousands of dollars that could make or break your ability to purchase the home of your dreams.
If you're interested in learning how to;
- Save at Least $3,000 in Out of Pocket Costs
- Get The Lowest Possible Interest Rate
- Get The Best Mortgage Program For Your Situation
- Get Your Lender to Cover Your Mortgage Costs
- Avoid Paying Any "Junk" Mortgage or Upfront Fees
Just Click the "Save Me $3,000 in Costs" Button Below or Call 248-674-6450!
What do you have to do to qualify for Michigan's home buying incentives for first time home buyers?
You have to have your own "financial ducks in a row," so to speak, if you want to buy a home. If you are a first time home buyer and are of modest means, for example, an FHA loan may be the way to go. There are also other types of financial assistance to first time home buyers, such as grants, to help with expenses like down payment and closing costs.
In addition to getting Michigan first time home buyer assistance, there are things you need to do to make sure you're ready to buy a home.
Some questions to ask yourself when considering Michigan first time home buyer assistance:
Do you have a job and a steady income?
It's no longer true that you can simply walk into any lender's establishment, sign on the dotted line, and walk away with a home mortgage. Since the collapse of the real estate market, lenders are becoming increasingly picky about just whom they lend money to. Therefore, you're going to have enough income to buy the house you want, and you're going to have to have a steady income as well, to qualify.
What's your credit history like?
When you apply for a mortgage, the lender is going to pull your credit report and see how financially responsible you are. If you have a lot of debts, have had a lot of late payments, bankruptcies, and so on, these are likely to show up on your credit report. Pull your credit report yourself from each of the three major bureaus (Equifax, TransUnion, and Experian) and check them carefully.
Are there any discrepancies on there, in that there are charges or "black marks" that aren't yours?
If so, contact each of the credit bureaus and have them removed. Credit bureaus have to check inaccuracies and remove inaccuracies within 60 days, on average. Doing this should significantly improve your credit score.
What's your credit score?
It varies, but many traditional lenders these days won't even look at you if your credit score isn't at least 700. However, you may be able to get a mortgage through FHA, or the USDA Rural Development mortgage, for example, with a credit score as low as 600.
How much house can you afford?
Your lender will help you figure this out, but in general, you can figure out how much house you can afford by determining what your debt to income ratio is; in other words, your total debt, including your mortgage and housing related expenses, cannot exceed 41% of your income. Your housing costs (including property taxes, mortgage, and insurance) cannot exceed 29% of your gross income.
In general, FHA loans are a good bet for modest income homeowners, because the down payment amount can be lower as well. Many lenders, for example, are asking homeowners to put down 20% or even 30% of a house's final selling price in order to qualify for a mortgage. FHA loans generally ask for only 3.5% down payment if your credit score is above 620, or 10% if it's lower than that.
Can you get help with down payment and closing costs with Michigan first time home buyer assistance?
In some cases, you can get help with down payment and closing costs either by accepting gifts from relatives, or by utilizing grant programs available in your area. Check in your area to see what grant programs are available to help first time home buyers with down payment and closing costs if you need this type of Michigan first time home buyer assistance