Is a 20% down payment the standard for first time home buyers in Union City NJ?
A 20% down payment is anything but standard. Making a smaller down payment does involve some form of mortgage insurance (MI) but not with some program. This is a fee that may be paid to limit the lender's risk when there is a lower down payment when buying your mortgage insurance (MI).
Our loans are available with as little as 3.5% down payment. The cost of the mortgage insurance maybe paid by the bank depending on the borrower's credit score and location. Borrowers with lower credit scores may be better off with an FHA loan. The disadvantage is that the borrower cannot cancel the MI for an FHA loan. The only way to get out of it is by refinancing into a conventional loan.
It is never a good idea to take up the first loan by the first bank that comes your way. Choosing your bank and then your mortgage plan is a critical factor, and not only does it affect your mortgage application but can also save you a lot of money. Choose a reliable and reputable bank and then go for a loan package that best pertains to your needs and requirements.
Is a 20% down payment the standard for first time home buyers by Tony Busanich. A loan officer with TD Bank, a lender from Maine to Florida. Whether you’re purchasing or refinancing, we provide straightforward, easy-to-understand products and advice, allowing you to make smart borrowing decisions that meet your needs today and tomorrow. My web site at www.tdbank.com/tonybusanich. Please contact me at 732-306-2231 or by email tony.busanich@td.com
Hope this help.
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