First Home Buyer Assistance

First-home buyer assistance refers to programs that make homeownership more affordable for buyers who haven’t owned a home before (or haven’t owned one in quite some time). They can include perks like a mortgage with a lower interest rate, a lower down payment requirement and closing cost assistance. These programs can be found from a variety of sources, including local governments, mortgage lenders and community organizations.

For example, SONYMA has been offering first-time homebuyer mortgage assistance since 1970. They partner with approved mortgage lenders to offer first-time buyers a 30-year fixed-rate mortgage and downpayment assistance. Buyers can qualify based on their income levels and other factors.

How First Home Buyer Assistance Can Make Your Dream Home Affordable

Some first-time homebuyer programs also come in the form of grants or low to no-interest loans. These are typically available for borrowers with low to moderate incomes, and they can be used for a down payment or to cover closing costs. They’re typically required to be paid back after a certain amount of time, however.

Conventional mortgages are also a great option for first-time buyers. They’re not backed or insured by the government, and they generally require higher credit scores and down payments than government-sponsored mortgages. However, they offer a lot of flexibility in terms of property types and loan amounts.

A few examples of conventional mortgage programs for first-time homeowners include the Achieving the Dream Program and the Conventional Plus Mortgage. The former is geared towards buyers with low incomes, and it offers reduced interest rates and a lower down payment on a 30-year fixed-rate mortgage for single-family homes, two-to four-unit owner occupied properties, co-ops and townhomes.