With lower interest rates and a slow but steady climb in housing inventory, things are looking a little better for buyers as we head into the fall and winter months. But the market still remains strong for sellers, and the road for those interested in buying a home remains difficult.
But home ownership is far from impossible, and there are a lot of special programs available to potential home buyers to help ease the burden of finding and closing on their dream property.
October is a month of screams and scary pranks. So I thought I’d keep the lights on at Goldfinch and share with everyone some of the best programs and tips to make the home buying process more affordable, easier, and a lot less frightful.
At Goldfinch Realty we’re about turning your haunted house into your dream house!
OK. Enough of the cheesy stuff. Let’s get serious.
Homeownership is not just about the intangible benefit of buying your dream home. Owning a home can greatly improve your financial situation, offering stability for some and an opportunity for most to gain equity.
That’s what makes these special assistance programs especially important for wannabe homeowners.
Programs to assist with down payments and/or closing costs can make a big difference for buyers entering a highly competitive market.
There are a lot of programs, grants and special financing for buyers out there, and many of these programs and options go underutilized. And that’s because most potential home buyers aren’t even aware they exist.
A down payment assistance program through the FHA is one such program. According to the Down Payment Resource and the Urban Institute, nearly 80% of those getting a FHA loan likely met the eligibility for down payment assistance but did not utilize the program.
The Down Payment Resource offers an extensive list, which includes over 2,400 available programs, for potential home buyers to search through and find much needed assistance as they go through the home buying process.
Locally the state of Maine is offering several programs, including a First Home Loan Program that offers mortgages requiring little to no down payments, low fixed-rate interest rates, and potential home improvement financing that allow a buyer to roll in home repair costs to their home mortgage.
The program comes with special requirements like attending a home education class and other minimum financial thresholds, but these are small and inconsequential when balanced against the aid they provide.
A program like Maine’s First Home Loan Program, or another state program that assists potential buyers whose parents have never owned a home and offers a $10,000 grant credited at closing, can help potential home buyers be more competitive in a difficult market.
There are numerous programs out there, and finding the ones you might be eligible for can seem like a daunting task, but the chore is worth your time. As you can see, there are thousands of dollars out there to help get you closer to homeownership.
Aside from programs offered by state and federal sources, there are several other ways that home buyers can work to save money and increase their spending power, gaining more advantage in the market.
Although sellers hold most of the leverage right now, getting them to cover closing costs, even if you have to inflate your overall offer, can help make closing on a home more financially feasible.
Trusting a thorough home inspector will prevent you from buying a home with potential problems that could cost you a lot of money in the long term.
One of the most important parts of assisting my clients with the home buying process is connecting them with reliable and trustworthy mortgage brokers who can offer them the most affordable mortgage and interest rate possible.
Finding a reliable mortgage broker can be a tremendous asset. Good brokers can help connect clients with assistance programs and find them loans with low rates and fees to help minimize closing costs.
Integrating special programs offering financial assistance to home buyers, a patient and diligent approach to the market, and an experienced real estate broker paired with a reliable mortgage broker, the road to homeownership becomes clearer and more navigable for any buyer.
There’s no question many potential home buyers face a long road to homeownership, but there are many assistance programs and lots of money being offered to help offset the difficult climate.
If you have any questions about real estate or want to discuss the home buying process with me, or are wondering what programs you might be eligible for, shoot me a message today.
