A Look At Zero Down Mortgage Loans

Interest rates are steadily going down and so are the prices of homes. Many Americans are looking for a way to get in on really good real estate deals by applying for zero down mortgage loans. This is good way to get your dream home with no or little money down. Many of these loans are for the first time buyers.

There are many mortgage brokers offering specials to attract first time homeowners. Here is a short list of some of the great deals that can be found by either getting on line and applying for them, or calling a loan officer.

1. USDA is offering no money down on homes in select rural areas. Some income restrictions do apply to receive this offer. Not only do the select few get a mortgage with no money down, they also get a low interest rate of around 4.50%.

2. Another great source is FHA.  FHA offers borrowers the chance at owning a home for as little as 3.5% down.

The government offers the most popular option, which is FHA. This program looks at the last 1-2 years of payment history to see if there are any questions about the credit of the person applying for the loan. FHA often helps those with fair to moderate credit history. When applying for FHA, there can’t be any bankruptcies in the past two years. The applicant should also have an excellent credit record after the bankruptcy as been discharged.

Owning a home is fairly easy as long as your credit history is fair to moderate. With zero down mortgage loans and the price of homes lowering, it is easier than ever to buy the first home. With the prices of homes and programs such as the ones mentioned, it truly is a great time to buy a home.