Think You Can't Afford to Buy a Home? Let's Look Again

Think You Can’t Afford to Buy a Home? Let’s Look Again.

One of the things we hear from potential buyers is:

“I'd love to buy a home, but I just don't have enough money saved.”

Maybe you don't.

But before you decide homeownership isn't possible, let's make sure you know what “enough” actually means—because it may be less than you think.

You may NOT need 20% down.

That 20% number gets repeated a lot, but many buyers purchase with considerably less.

Depending on your qualifications, possible options include:

• Conventional financing with as little as 3% down

• FHA financing with a relatively low down payment

• VA financing with no down payment for eligible veterans and service members

• USDA financing with no down payment for qualified buyers and eligible properties

• Down-payment or homebuyer assistance programs that may be available depending on your situation

But the down payment isn't the only hurdle.

Buyers also worry about having enough cash for closing costs.

Here's something important:

We can sometimes negotiate with the seller to help pay some of your allowable closing costs.

Suppose you find a $250,000 home. Instead of negotiating only over the sales price, we may structure an offer asking the seller to contribute toward your closing expenses.

Would every seller agree? Of course not.

But depending on the house, how long it's been on the market, competing offers and the seller's motivation, 

It's absolutely something we can explore.

There may be other ways to make the numbers work.

Depending on your loan and circumstances, we can also explore things such as:

Gift funds from family — Certain loan programs allow qualifying gift funds to help with the down payment or closing costs.

Seller-paid rate buydowns — Instead of simply asking for a price reduction, we may be able to negotiate money toward lowering your interest rate.

Lender credits — In some situations, a lender may offer a credit toward closing costs in exchange for a different interest rate.

Down-payment assistance — Some buyers may qualify for local, state or other assistance programs.

Looking at the OFFER differently — Sometimes the best deal isn't the house with the lowest asking price. Negotiating closing costs, repairs, rate assistance or other terms could potentially leave more money in your pocket.

Want to learn more before talking to anyone?

That's exactly why we created our FREE Homebuyers Success Academy.

It walks you through the home-buying process at your own pace—from getting financially prepared and understanding financing to viewing homes, making an offer and getting to closing.

There's no cost, no obligation and no pressure to buy. It's simply there to help you become a more confident, informed buyer.

[VISIT THE HOMEBUYERS SUCCESS ACADEMY]

Here's the point...

Please don't decide you can't buy a home based on assumptions.

You may talk with a lender and discover that you're not ready yet—and that's okay. At least you'll know what needs to happen next.

But you might also discover you're much closer than you thought.

And that's where Karin and I are happy to help.

We'll talk through your situation, connect you with a good lender if needed, look at the different possibilities and help you figure out whether there's a realistic path to homeownership.

No pressure. No obligation. And no trying to convince you to buy a house you can't afford.

Sometimes you just need someone to help you figure out what's possible.

Ed & Karin
At Home with Ed & Karin

With HEART and a bit of HUMOR, you will feel At Home with Ed & Karin.

 Loan programs, down-payment requirements, seller contributions and assistance programs are subject to eligibility, lender guidelines and individual circumstances. Consult a qualified mortgage professional for specific financing information.