Becoming a Home Owner may be easier than you think…
Today, there are many options for renters to become home owners. Whether your first home or getting back into the markt to become a home owner there is likely a program for you. So, the most important step you can take is to contact a local mortgage professional to learn your options.
Why Not Just Go To My Bank?
This is a the most common question we get in Real Estate today. The answer is pretty simple… SHOP! Americans will shop and research a new TV or a car for weeks and drive all over town prior to making a decision. Why then do Americans not shop for a mortgage? So stop into your bankking institution and ask for their programs & down payment options. And then ask a friend or your Realtor for a referral to a good local lender to get more infomration. You can do this without a hit to your credit!
Why a Mortgage Broker Over a Bank?
The simplist answer is that Mortgage Broker loan officers (LO) most often have multiple options to get your loan funded, whereas banks are largely selling their product. In addition to more options, the Loan Offocer makes a commission on getting you funded from the underwriter – they have a vested interest in helping you succeed! Finally, many mortgage brokers have credit prep and credit repair counceling offfered free of charge to get you mortgage ready and approved!
Buy With $0 Zero Down!
Yes, these loans are available and not just for VA buyers. Rural Development and other programs offer ways to purchase with $0 down. Down Payment Assistance (DPA) programs can also help would be buyers get into home ownership. This purchases are qualified by the true value of the property in the 3rd party appraisal and the ability of the buyer to make the payment. Loans are not over leveraged by lofty appraisals or minimal vetting of buyers.
The question we hear often is “didn’t zero down mortgage cause the mortgage crisis and recession of 2009?”. The answer is more complicated than a simple NO but for the most part, the mortgage crisis was caused by factoring crappy loans while offering cheap products to poorly qualified candiddates AND including cash-back options that were not used to enhance the property. In short, homes were OVER-MORTGAGED for their value and when the cheap rates expired, the home-owners were upside down.
Is The Mortgage You Pay YOURS or Your Landlord’s?
We all pay a mortgage, whether for our own home or the landlord’s in the way of rent. The only way to break the bond with rent is to become infomred of your options with a good local lender, devise an action plan and stick to you goal of home ownership. Waiting to save money will cost you money as home prices are going UP! Act now to learn your ability and avenues to become a home owner. Fanniemae.com offers some great insight & tools.
Here are a few good local Lenders:
Austin Lord at Lotus Home Loans – (248) 560-7312
Katie Lawrence at Union Home Mortgage –