Buying a Home of your own
Even though it’s not easy for everyone to buy a home, it is in fact easier than to get a home these days if you choose a lender that offers FHA (Federal Housing Administration) mortgage financing which is a bit more liberal than programs offered by conventional banks who tend to be more restrictive in their lending guidelines. In addition, if mortgage programs offered by conventional banks may vary from bank to bank but FHA-approved lenders must comply with one set of rules/guidelines set forth by HUD (Housing & Urban Development), the parent agency of FHA.
Even if you don’t have a lot of capital or a lot of money to put down, you can still get a home of your own at very affordable terms when you utilize FHA-insured financing to purchase your home because your down payment can be as low as 3.5% of the purchase price. A lot of people think that buying a home is a tough process, needing a large down payment, but this isn’t always the case. Buying a home largely depends on your budget.
If you put a down payment on your home purchase, it will go towards your overall purchase. The more money you put down on a home of your own, the lower your monthly payments will be. The repayment terms, when put in the context of rental houses and apartments, may be easier to deal with in that if you did not purchase a home you would probably still be making a monthly payment for housing. This can be a worthwhile comparison because it paints a clear picture of where your hard earned money is going. Towards rental housing or towards a home of your own.
Owning a home of your own is a dream for many people, especially young couples who are just starting a family. Some apartments and rental homes can be great to live in – although most these days will cost you just as much as a mortgage payment, so renting doesn’t seem to make any sense if you could afford to purchase a home of your own. The idea is to convert your rental payments into monthly installments towards your own home. All across the United States, you can find FHA-approved lenders that offer affordable loans for purchasing a home of your own or residential real estate property at low interest rates. With a lot interest rate, you can get the home of your own and enjoy low monthly payments.
Keep in mind that you need to choose a loan plan that’s best suited for you. You can go through a bank that offers FHA mortgages, through a FHA-approved mortgage lender, or use an online service; as long as you let it be known that your preference is a FHA-insured mortgage. You can also use the services of a real estate agent, which is one of the more popular choices. Good real estate agents will be more than willing to help you get a great deal on a home of your own, at prices that are right for you. A good real estate agent may also be willing to discuss methods of financing in the most affordable manner.
If you plan your budget and take things one step at a time, you’ll be closer than you think to completing a purchase on the home of your own. If you choose to keep renting and pay money toward something you don’t own – that home may continue to slip away if home prices begin to rise. Taking action in a “buyer’s market” as is the condition of today’s market may be the best thing you can do to find ideal home of your own at a great price and put your money towards it.
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If the government can’t run business, how come businesses always run to the government for a bailout when it runs into trouble? FHA-insured mortgages, government run for 75 years. Lest we forget?
As of July 1, 2009 a recent housing initiative was expanded to allow Las Vegas borrowers who are up to 125% underwater on their mortgages to seek mortgage refinancing. Thanks to the Making Home Affordable program!