Can you get qualified? Even without a substantial down payment saved, you’ll find there are programs—such as the FHA loan program—that make it possible for you to become a first-time home buyer.
Make Your First Home Purchase Your Best-Ever Decision
Take advantage of interest rates. There’s no guarantee that interest rates are going to be this low forever. By getting out of the renter’s game and locking in low interest rates, you can begin a lifelong journey of wealth building.
Use less money down than you imagined. The concept of saving up 20% for money down against a loan can scare some first-time home buyers. But we’ll explain why that doesn’t always have to apply to you.
What You Need to Know About First-Time Home Buying
According to some statistics, a majority of renters who want to buy a home don’t move forward because they’re afraid they don’t qualify! But there are plenty of programs that make it viable for lots of people—even those with poor credit—to qualify.
For many first-time home buyers, the main issue is coming up with the down payment. Many of those who would otherwise buy a home feel they would move their purchase timeline forward if they could make the down payment.
With some first-time home buyers’ terms, it’s possible to pay with a relatively small down payment, much smaller than the usually-expected 20%.
Home sales are as hot as ever, with available homes sometimes going off the market in as little as three weeks in some areas—or even less.
Find favorable terms. When you approach it the right way, your first home purchase can be a door to great terms that help you with your monthly budget.
2 Ways to Use Your FHA 203(k) Loan
Buy a Fixer-Upper (and Fix It Up)
Or... Renovate Your Current Home!
My experience was wonderful. I became a homeowner at a late age in my life. Rhonda Johnson made me a believer in it. She inspired me. I asked a million questions and she gave me answers every time. She set the expectations from the beginning that it would be long but to hold on. Brandon has someone on his team that will fight for you to become a homeowner. Buying a home is the one of the best things in my life I have ever accomplished. I have rented all my life and once believed I would be renter all my life until Rhonda Johnson educated us on how it can be done. We made the intelligent move by working with Intelligent Mortgage. We are homeowners today and spent our 1st thanksgiving in our new home. Thanks Rhonda, Randy, and Brandon for being the best team anyone who wants to buy a home would ever need. I also got a great rate during a pandemic. 2020 has been a tough year but this experience made it better. - Jimmie Bates
Brandon and Intelligent Mortgage is by far the most knowledgeable and professional company that I have been involved with as a client and as an employee. Over the years Brandon and his team has done 2 mortgages with me, not to mention several of my friends and family. We not only had a professional relationship but we became friends. So when I decided to change careers into the mortgage business, Brandon was the first person that I called for advice. Once I passed my NMLS exam, he hired me as an employee. I have nothing but good things to say about Brandon and this entire team. - Shaun Brignac
I did a refinance with Randy at Intelligent Mortgage and the process was easy and painless. Randy is fist class and the absolute best! I would highly recommend Intelligent Mortgage for all of your mortgage needs. - Scott Roccaforte
Brandon and his team are amazing. My refinance was seamless. The communication between him and everyone else I dealt with was always consistent and timely. He shopped the best rate with all of his lending partners and ended up saving me thousands. The money I saved each month is getting paid still and it’ll knock 8 years off my mortgage payment. - Kiel Harton
One of the most professional dealings I have ever dealt with from a mortgage company. Brandon was upfront, professional, and kept us always two steps above. He reached out to us when rates dropped and was beneficial for us. Will continue to use company. Highly recommended - Answar Dotson
Your Renovation Wish List Could Include...
Increase window size
Bring in more natural light
Finish a basement or attic
Create a mother-in-law apartment or guest space
Correct foundational issues
Protect your investment for the long-term
Add a detached garage when one does not exist
There’s room for everyone
Knock down walls
Open up the floor plan to create versatile, welcoming spaces
Flood-proof your property
Add a retaining wall to prevent expensive damage
Repair the pool
Tired of leaks and cracks? Fix the pool & start enjoying it
Expand or refresh the kitchen
Cooking is just more fun in an updated kitchen
Add square footage
Growing your family? Grow your home alongside it!
How Does a Renovation Loan Work?
Depending on the types of repairs you plan to do, you have two options when it comes to securing a FHA 203(k) Renovation Loan: Limited and Standard.
What Do First-Time Home Buyers Need to Know About Buying a Home?
Why should I buy a home now and not rent until I can save up a massive down payment?
Because there are plenty of options for lowering your down payment! For example, the FHA loan program, which includes loans insured by the Federal Housing Administration, is great for people with low credit scores and not a lot saved for a down payment. That isn’t to say that you shouldn’t save for a down payment—but remain open to all of the options available.
How will I afford my home?
Pre-approval for a first-time home buyer can be a major step in the process, and it’s easier than you think. A pre-approval is essentially a (conditional) promise from a lender that they can offer you the mortgage terms you need to make an offer on a house. This requires an application process that’s much simpler than you might imagine—and great for first-time home buyers who want to shop around and demonstrate to a seller that they’re serious about their offer.
Should I save for a down payment?
Absolutely. Just because you don’t necessarily have to make a 20% down payment on your first home doesn’t mean that you should eschew the process completely. Having a substantial down payment saved never hurts.
I have a low credit score. What kinds of loan programs are there for me?
If you go through the application process and make sure that your payment is in line with what you can fit within your budget (the typical recommendation is a mortgage that takes up no more than 25-33% of your household budget), then you’ll find it’s possible to afford your first home—and the process may be much simpler than you imagined
How do I get pre-approved?
In addition to the FHA loan program as mentioned in the previous answer, you should also look at your qualification for: the VA loan program, the USDA loan program, and even the Good Neighbor Next Door buyer aid program.
What should I do next?
Simple. Click any of our buttons above and find out if your first time home purchase can be as easy as we say it is here. Don’t worry about a low credit score, either—you’ll find that there are plenty of programs out there that can help.