Fort Leonard Wood area Homes Magazine September Issue | Page 5

Wantt obuyahous ebutdon’ tknowwhe r et os t ar t ?STARTHERE&LETUSHELP! ! HOW TOBUYAHOMEWI THLI TTLEORNOMONEYDOWN Formor ei nde pt hi nf or mat i on,pl e as evi s i t ht t p: / / f or t l e onar dwoodr e al e s t at e . bl ogs pot . c om/ 2014/ 10/ 6ways t obuyhome wi t hl i t t l e or no. ht ml Buyi ngahomei sc ons i de r e dbyma nya st he" Ame r i c a nDr e a m. "Thi showe ve r ,i sof t e n unobt a i na bl ebyma ny .One   ma j orr e a s onwhys omec a nnotbuyahomei sduet ot he i r c r e di t   s c or e s .Eve r y  l oa npr ogr a ma ndl e nde ri sdi f f e r e nt ,e a c honeha s   t he i rowngui de l i ne sf orc r e di ts c or e s .Mos tl e nde r swi l lnotgi veamor t ga get oa nyonewi t ha   c r e di ts c or e l e s st ha na640.Theot he rr e a s onwhybuye r sc a nnotpur c ha s eahomei sduet onot ha vi nge noughmone y ,ori ns omec a s e snomone y .Thi si st het opi coft oda y .  " Iha vea goodc r e di ts c or ebutnomone y ,howc a nIbuyahome ? Buyi ngahomei snotc he a p,buti tc a nbedonewi t hl i t t l eornomone y!   The r ea r edi f f e r e ntt ype sofl oa nsa ndgr a nt sa va i l a bl et onotonl yt hef i r s tt i mehomebuye r s ,butt oa l l buye r si nge ne r a l .   Wha tdoe st hi sme a nt oyou?  I tme a nsyoua r enowa bl et obuya homewi t hl i t t l et oz e r oofyourownmone ya ndnol onge rha vet owa i t .The r e a r emul t i pl ewa yst obuyahomewi t houtadownpa yme nt .   The r ea r es ome ot he rc ons i de r a t i onsbuye r sne e dt ounde r s t a nd,a ndIwi l lt a l ka boutt he ma tt he e n d .   Li s t e db e l o wa r et h ed i f f e r e n twa y st ob u yah o mewi t h o u tp a y i n g2 0 %d o wn . METHOD# 1VAHo meLo a n-Th eVe t e r a n sAd mi n i s t r a t i o n( VA)o v e r s e e st h er u l e sf o rl e n d i n gt ov e t e r a n s . Th eVAd o e sn o ti s s u el o a n si t s e l fb u ti n s t e a d g r a n t sa u t h o r i t yt ob a n k s , mo r t g a g el e n d e r sa n dc r e d i tUn i o n st oo f f e rVAHo meMo r t g a g e s . METHOD# 2USDAMo r t g a g e-Tomo s to fy o uIa ms u r ei tma ys o u n ds t r a n g et oh e a rt h ea c r o n y mUSDA( Un i t e dSt a t e sDe p a r t me n to fAg r i c u l t u r e )wi t h amo r t g a g e . Ye s , t h e yo f f e rh o mel o a n sn o tf a r ml o a n s . Th i so r g a n i z a t i o no f f e r sf u n d i n gt h a twi l la l l o wb o r r o we r st or e c e i v eal o a ne q u a lt o1 0 0 %o fah o me ' s a p p r a i s e dv a l u eo rt h es e l l i n gp r i c e , wh i c h e v e ri sl o we r .   I na d d i t i o n , l i k et h et h eVAHo meLo a n , s e l l e r sa r ea l l o we dt op a yt h eb u y e r sc l o s i n gc o s t   u pt o6 % o ft h el o a n . METHOD# 3FHAMo r t g a g e-Th eFHAMo r t g a g eh a sb e e nt h emo s tp o p u l a rl o a nf o rp e o p l eb u y i n gah o mewi t hl i t t l eo rn omo n e y .   Th eFe d e r a lHo u s i n g Au t h o r i t y( FHA)o p e r a t e ds i mi l a rt ot h eVA. FHAd o e sn o to f f e rl o a n sb u tr a t h e rg i v e sp e r mi s s i o nt ol e n d e r st op r o v i d et h emo r t g a g e sa c c o r d i n gt ot h e i r g u i d e l i n e s . METHOD# 4Co nv e nt i o na lMo r t g a g e-Ba n kmo r t g a g e st y p i c a lr e q u i r e me n twa st oa s kt h eb u y e rt op a y2 0 %o ft h eh o me ' sp r i c ea sad o wnp a y me n t .   Ov e rt i me , b a n k sr e a l i z e dt h a tb o r r o we r swi t has o l i de mp l o y me n tr e c o r da n dg o o dc r e d i twe r eag o o dr i s ka n dg r a d u a l l yl o we r e dt h er e q u i r e me n tt oo n l y5 %.   Ye s , t h i sma ys e e ml i k eal a r g ea mo u n tt os o me .   Ho we v e r , wh e nl o o k i n ga tap u r c h a s ep r i c eo f$ 1 5 0 , 0 0 0 . 0 0t h e5 %o f$ 7 , 5 0 0 . 0 0s e e msal o tmo r ef e a s i b l e t h a nt h e$ 3 0 , 0 0 0r e q u i r e df o ra2 0 %d o wnp a y me n t . METHOD# 5Us i ngLe nde rCr e di t s-I ti sp o s s i b l et og e tt h el e n d e rt oh e l pwi t hp a r to ft h ed o wnp a y me n ta n dc l o s i n gc o s t s . Ba n k s , c r e d i tu n i o n sa n d mo r t g a g el e n d e r sc h a r g ef e e st of a c i l i t a t eamo r t g a g el o a n .   Pa r to ft h ef e ec o me sf r o mt h ei n t e r e s tr a t ec h a r g e do nt h el o a n .   Bu y e r sc a nn e g o t i a t et op a ya s l i g h t l yh i g h e rr a t ei ne x c h a n g ef o rt h el e n d e ru s i n gp a r to ft h ef e et oc o v e rs o meo ft h ec l o s i n gc o s t so rp a r to ft h ed o wnp a y me n t .   Th i si sad i s c u s s i o ny o u wi l ln e e dt oh a v ed i r e c t l ywi t ht h el e n d e rs i n c ee a c ho p e r a t ei nad i f f e r e n tma n n e r . METHOD# 6MHA-Mi s s o u r iHo u s i n gDe v e l o p me n tCo mmi s s i o ni st h e