TOP 10 WAYS TO GET YOUR DOWN PAYMENT
• Get a Gift – With FHA financing the buyer can get a gift from a relative for the down payment and closing cost.
• 401K loan – You can borrow the money from your self, in most cases this loan will not count against your qualifying debt to income ratio and as a first time homebuyer most 401k programs will allow this transaction.
• Life insurance – If you have a whole life policy you can either borrow or cash it in. Since most of these are purchased with after tax dollars there are no tax implications.
• Secured loan- If you have an asset that is free and clear such as a vehicle you may be able to get a secured loan against the value of the asset.
• DPA – Several Government entities offer down payment assistance programs for first time home buyers.
• Sale of personal property – With verification of value and a bill of sale, the funds from the sale of personal property can be used for the down payment.
• Human Resources – Some Employers offer down payment assistance as a benefit to their employees, these award are eligible for down payment through FHA financing.
• Tax Refund – You can use this year’s tax refund to become a homeowner. A copy of this year’s tax return and a copy of the refund check or bank statement showing the amount of the refund on deposit is all that is required.
• Second Job – Even though we may not be able to use this income to qualify the borrower if the borrower has not had the job for two years, the cash earned from this second job can be used for the down payment. Pay stubs from the second job and bank statements can provide a paper trail to source the funds.
• Savings/Budgeting – Cutting back on extras along with any one of the above mentioned ideas will get our buyer into a home faster.
Call one of Premier Nationwide Lending’s mortgage experts to work with you to find out how to buy the home of your dreams!