We have started a new video mini-series to discuss some of the common questions people have when they are seeking a mortgage.
On today's video we're going to discuss first time home buyers.
* Below is a transcription of the video
What type of person would that be? The general premise is any one who is entering the market for the first time is considered a first time home buyer. The underlying issue is whether or not you've purchased a primary residence within the last 3 years.
Let's say you went through a bad economy, or whatever it is and you were renting for five years, so you can actually fall back into that first time home buyer. Correct! As long as you haven't owned a house as your primary residence within the last three years you qualify for a lot of first time home buyer programs.
So what else does a first time home buyer need to prepare before they get over to you guys? What do they need to bring to you guys? It's not so much they need to prepare before they get to us. It's more of a, come to us first to get the education to prepare for the adventure you're gearing up to go on.
We do a lot of time educating everyone to make sure they feel comfortable with the process, making sure they understand what they're about to get into, and a lot of times they'll find it seems to be this overwhelming process. They may be looking into purchasing a $100,000 home, they think they need to put $20 grad down and that may not be necessarily true.
Depending on your credit scenario, you can get away with putting as low as $2-3,000 just to start making something happen. It's very acheivable for people to get in their first home. A lot of times with the rates where they are now, you're going to get into a home for less than what you pay for in rent.