First off if you are already not aware of this or never heard of first time home buyer programs before, Let me take some to explain.
As the name depicts the first time home buyer programs as the name indicates is a program mainly targeted to help people who do not own a house and have unable to find one in the past 3 years (minimum time).
Since this programs is for the first timers the chances of you getting a Home loan pretty High.
There are several advantages and disadvantages that involve while applying for a good first time home buyer programs. Let us discuss these pros and Cons in detail.
Pros
- As said before your chance of getting the loan is higher because of the nature of program that has been designed.
- Interest rates are pretty low and in many cases you will be excluded from many taxes either in full or in parts.
- The down payment to be made towards this is very less furthermore if you have a good credit history you will be exempted from paying any down payment.
Cons
The disadvantages of first time home buyer programs are as follows
- You must have never owned a home in the past.
- You income should be on the lower side meaning that if you are considered to be a Middle Class person you will not be qualified.
- You must actually live in that home soon after being allocated meaning that you can use this an investment opportunity
- You can’t buy an expensive home remember these are for lower income groups and the houses are built to meet their standards
- You cannot sell this home too quickly say less than 1 year if done you will lose all the tax benefits and in fact you will be asked to pay at a higher rate of interest.
You will find more information about first time home buyer programs in the Local news paper and you’ll find a lot websites that offer these services at decent rates.
If you live in any of the Following places you fill find the right First Time Home Buyer Programs in your state.