| No money down programs | ||
| Great News for first time home buyers! It is possible to buy a home for zero down - We use a program called Nehemiah. This is a brief outline on how Nehemiah works: The very first thing to do is get pre-approved for a loan. (not just pre-qualified) After your pre-approval, We will work together to find a home that you want to buy. Lets assume for this example that the home you are buying is listed for $150,000. It will cost about $7,000 to close the transaction (downpayment and prepaids). Normally, you would have to bring the $7,000 in cash to closing, and borrow roughly $146,000. Nehemiah is a program that will “gift” the downpayment and prepaids to you. This gift is NOT a loan, and does not have to be repaid at any time. But Nehemiah has to recover their funds so that they can help other homebuyers. So we offer $157,000 for the house. This allows the seller to be able to "contribute" $7000 to Nehemiah. The seller maintains his bottomline net, so he is happy. The catch is the house has to appraise for the $157,000, and you have to be approved to take a loan for $157,000. The appraisers are becoming more aggressive on their appraisals, because there are more defaults on transactions where down payment assistance was offered. Have any questions, feel free to email me at ron@speaktocheeks.com or call 317-290-7340. I have also linked the sites for Nehemiah and Neighborhood Gold, the other large down payment assistance program. | ||
