How To Get Your Down Payment Funded
As we see home prices rise, home buyers (especially first-home buyers) need to determine how they will get funds for their down payment. Traditional loans require a 20% down payment, however there are other programs that do not require this large amount. VA loans require zero down payment, and if you qualify FHA loan down payments can be as low as 3.5% down. If you can’t do 20% many lenders may require private mortgage insurance (PMI) on the loan. Here are typical sources of down payments Savings – If possible, you should start saving for the down payment a few years in advanced. Gift Funds are used by many people as well. A friend, relative or employer may help you with assistance towards the down payment. If you do this,…