There are certain programs that help first time homeowners. Some mortgage and loan programs that make home buying experience less hectic. The programs are categorised into three categories.
● Affordable mortgages
● Incentive and cash grants
● Political Aided Programs
Affordable Mortgage
These are government owned programs. Which acquire low down payment rates and lesser interest rates on your mortgage. These programs are affordable for first time home buyers as well as low to moderate income earners.
● FHA
● USDA
● VA
FHA mortgage
A housing mortgage loan. FHA comes with 3% of down payment. The federal housing administration has low regulations and guidelines.. Which are ideal for first time homebuyers. Because this program provides lower mortgage rates, it is really popular among homebuyers with low moderate income.
USDA Mortgage
If you are living in rural areas then USD mortgage is your go to facility. You do not have to pay any down payment to the USDA mortgage. The borrowers get low to none interest rates.
VA Loans
Another mortgage company, which provides absolutely no down payment mortgage. This program is ideal for veterans, militant, surviving family members of military officers. The veteran affairs mortgage often provides borrowers with fixed or variable interest rates. You can choose your options and then the lenders will introduce you with the guidelines of the mortgage.
Incentive and cash grants
This is some kind of gift that first time home owners can receive on the purchase of their first house. These are a part of non-repairable gifts. The home lenders do not provide such gifts or incentives. The government provides cash grants or incentives if a buyer applies for it. There is a facility that provides cash grants.
● The national homeowners fund
The national homeowners fund
This is a forgivable cash grant type which the buyers can get their benefits from. If applied, homeowners can get up to 5% of the cash grant on the actual amount of their house. Should a homeowner choose to keep the forgivable cash ground he is obligated to stay in the house for five years or more as per the guidelines of the national homeowners fund.
Political Aided Programs
On the political side, the Congress is always working to introduce and make some new bills for homebuyers. Some bills get passed in the parliament or send it and become the law and some not.
Conclusion
Although many homebuyers are getting these cash prices. Only some are there who are aware of this. The amount is practically not enough for a homebuyer but it still chooses to aid him in some of the house expenses. Should you choose to take this amount you need complete guidance on the rules and regulations of homeowners funding programs.
