When you have a moderate income, you may think owning your own home is just a dream. Even if you have good credit, it may be difficult to save money for a down payment. If you have been house hunting, on the off chance you can get a home loan, and are a first time home buyer, your Realtor should be telling you about government backed loans. There is FHA financing California lenders can offer when applicants don't qualify for conventional loans.
The mortgage many purchasers prefer is the 203b loan. It is a ninety-six percent, fixed rate mortgage payable over a thirty year period. In order to protect the lender, you are required to purchase mortgage insurance that will be added into your monthly payments. Fixed rate means your payments will remain the same every month no matter whether interest rates go up or down.
If making the lowest monthly payment possible is important to you, you could choose to opt for an adjustable rate mortgage instead of the fixed rate. You have to clearly understand however, your interest rate may go up, which will result in an increase in your monthly payments. Rates for FHA loans can't exceed one percent annually and have a five percent lifetime cap.
Some homeowners have trouble making payments when their adjustable rate mortgages go up. In that event, it may be possible to obtain a secure refinance loan directed specifically toward these homeowners. You don't have to have a government backed loan to qualify for the refinancing. There are restrictions when applying for these loans however. Your income has to be reliable, and you must be in a position to make the monthly payments.
Seniors who are interested in some additional income can quality for reverse mortgages. The commercials advertising them are on television all the time and all over the internet. Reverse mortgages involve turning current equity in a home into cash for a homeowner who is at least sixty-two years old.
The federal government actually wants to encourage homeowners to purchase or renovate existing homes to make them more energy efficient. In order to make this attractive, FHA offers loans that are included in monthly payments for new homeowners or with a refinancing package for existing homeowners. You can get up to five percent of the property value or four thousand dollars.
You don't have to purchase a single family home to qualify for a government backed loan. If you are interested in a condominium, there are FHA condominium loans you can apply for. These are very similar to the 203b loans for single family properties. There are restrictions however, and you need to discuss them with your Realtor.
You don't have to be rich to be a homeowner. There are options for people in all income brackets and with all kinds of credit histories. You may be surprised by what you actually quality for.
The mortgage many purchasers prefer is the 203b loan. It is a ninety-six percent, fixed rate mortgage payable over a thirty year period. In order to protect the lender, you are required to purchase mortgage insurance that will be added into your monthly payments. Fixed rate means your payments will remain the same every month no matter whether interest rates go up or down.
If making the lowest monthly payment possible is important to you, you could choose to opt for an adjustable rate mortgage instead of the fixed rate. You have to clearly understand however, your interest rate may go up, which will result in an increase in your monthly payments. Rates for FHA loans can't exceed one percent annually and have a five percent lifetime cap.
Some homeowners have trouble making payments when their adjustable rate mortgages go up. In that event, it may be possible to obtain a secure refinance loan directed specifically toward these homeowners. You don't have to have a government backed loan to qualify for the refinancing. There are restrictions when applying for these loans however. Your income has to be reliable, and you must be in a position to make the monthly payments.
Seniors who are interested in some additional income can quality for reverse mortgages. The commercials advertising them are on television all the time and all over the internet. Reverse mortgages involve turning current equity in a home into cash for a homeowner who is at least sixty-two years old.
The federal government actually wants to encourage homeowners to purchase or renovate existing homes to make them more energy efficient. In order to make this attractive, FHA offers loans that are included in monthly payments for new homeowners or with a refinancing package for existing homeowners. You can get up to five percent of the property value or four thousand dollars.
You don't have to purchase a single family home to qualify for a government backed loan. If you are interested in a condominium, there are FHA condominium loans you can apply for. These are very similar to the 203b loans for single family properties. There are restrictions however, and you need to discuss them with your Realtor.
You don't have to be rich to be a homeowner. There are options for people in all income brackets and with all kinds of credit histories. You may be surprised by what you actually quality for.
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When you are looking for information about FHA financing California residents can come to our web pages online today. More details are available at http://www.californiamortgagegroup.net/products.aspx now.
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