For most first-time homeowners, switching from renting to owning is expensive. Not only do you have to find a loan, you also have to cover the down payment on your house. Unless you have tons of money saved up, coming up with the expected 20% on your own is tough. Though the government guarantees many loans designed to help first-time buyers become owners, they don’t offer down payment assistance grants directly. Instead, they give funds to different organizations and states. So, is there anything you can do? Absolutely! Here’s how to find a great down payment grant to help you get into your new home.
Look at the American Dream Downpayment Initiative
The American Dream Downpayment Initiative (ADDI) is a federally backed program that helps low-income buyers. The program gives states access to funds that they can distribute to qualified applicants. These funds are true grants. If you apply and accept the money, you won’t have to pay it back or worry about adding to your total debt level.
Talk to Your Realtor
Your realtor isn’t just an experienced professional that can help you find a good home. They can also help you find first-time homeowner grants. Let them know that you’re interested in getting down payment assistance. If they’ve worked in the industry for any length of time, they’ll know which local grants are available. Even better, they’ll be able to help you find the appropriate contact information for the grant issuers.
Speak With Your Lender
Remember, down payment grants vary from state to state. The type of grants you can apply for largely depend on where you’re buying. Your lender should be able to recommend down payment assistance programs to help you get into the home of your dreams. They may also help you find a low-interest government-backed loan like the FHA or USDA loan program that will make qualifying for your mortgage easier. These loans make becoming a first-time homeowner much easier and cheaper.
Get Help Today
If you’re trying to find a way to finance your new home and cover the cost of your down payment, don’t wait. Contact Mortgage Solutions Financial today. Our experienced professionals will help you determine which loan program is best. Even better, they can help you explore down payment assistance grants in your area. You’ll become a first-time homeowner in no time.