Low Down Payment Mortgage Programs in California.
Buying your first home is a milestone that you can be proud of. But it can also be intimidating if you are not familiar with mortgage programs. The good news is, that you can access plenty of support through Lux Funding as you navigate through the different mortgage programs in Alameda County, California.
Alameda County is a top destination for homebuyers in California thanks to its natural, serene beauty, and friendly community.
In this article, we’ll share low-down-payment mortgage options in Alameda County.
7 Low Down Payment Programs To Consider In Alameda County, CA
Traditionally, a 20% downpayment was required for home purchases. However, did you know that there are programs that allow you to put less? A 20% downpayment is not easy to come up with for most homebuyers, so it’s good to know which mortgage programs are flexible when it comes to down payments and can make homeownership more accessible.
This article will overview downpayment assistance programs that offer 0%, 3%, 3.5%, or 10% down. Remember that for complete information and qualification requirements, please contact Lux Funding, your local Alameda County mortgage professional.
USDA Loan
USDA government loans allow you to buy a home with no down payment at all. This loan can only be used to purchase properties in specified rural areas, and the borrower must also meet income and credit requirements to qualify.
FHA Loan
With a government-backed FHA loan, you can put down as little as 3.5% on your new home. That’s significantly easier to save for when compared to the traditional 20%.
Furthermore, it’s easier to qualify for an FHA loan thanks to more lenient credit score requirements.
VA Loan
For military veterans, personnel, and their spouses, a VA loan can help you get a mortgage with zero down! Qualifying depends on your military status along with other factors.
HomeReady® and Home Possible®
HomeReady® by Fannie Mae and Home Possible® by Freddie Mac are two programs that allow for as little as 3% down on your new home.
Both programs targets low- and middle-income families. While Home Possible® has somewhat more lax qualifying requirements, HomeReady® has more stringent credit qualifying requirements as compared to FHA loans.
97% Loan to Value Standard
Fannie Mae also offers a conventional 97% loan-to-value mortgage product which offers a 3% down payment. The program is specifically for first-time homebuyers that also meet credit requirements.
Ready to Purchase Your Dream Home in Alameda County?
Are you ready to purchase your dream home in Alameda County, CA? You don’t have to pressure yourself to pay 20% down before you go house hunting. There are several low down payment home loans by Lux Funding that can fit your specific needs and budget.
Get in touch with our mortgage specialists to help you make the best decision in your situation.
* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.