Do I Need A Down-Payment To Purchase A Home?

Alexandria La Real Estate- Do I Need A Down-payment To Purchase A Home?

Purchasing a home is a major decision. Alexandria La home buyers are encouraged to spend some time speaking with a local mortgage lender. But the question remains, do I need a down-payment to buy a home? If so, how will I know how much to save? Lets take a look at some popular home loan programs in Alexandria Louisiana.

1. FHA Loans-- These loans require borrowers to have 3.5% down. So on 100,000 dollars the buyer would need 3,500 bucks. With careful planning, most people can save this in a matter of months!
2. Bond Money- Based on a FHA loan, bond money comes in and covers the bulk of the required down-payment. Earlier this summer I had a buyer only bring 88 dollars to closing. That's cheaper than dinner and a movie!
3. Rural Development-- This is a true 100% finance program. If we can negotiate seller paid closing costs, the buyer will have almost zero bucks out of pocket. In fact, many buyers even get part or all of their deposit back at closing. A home and money back, not bad. There can be some area restrictions so it's important to do your research upfront.
4. VA Loans-- For those who defended our country, this loan program is for you! Just like Rural Development, this is a 100% loan. VA buyers need to start the paperwork early to make sure their VA eligibility is ready to go.
5. Conventional-- There are local Alexandria/Pineville La lenders who offer conventional products with as little as five percent down. In a competitive market, I have seen sellers select a Conventional loan backed offer over one with FHA or Rural Development financing.

Confused? Need help getting the process started in the right direction? No problem, call Doug Rogers (318) 613-1994 today. Ready to search local inventory? Go to Alexandria La Real Estate and sign up for a free account. Explore the entire Central Louisiana MLS updated in real time.