Mortgage Loans for First timers, Purchasing a Texas Home

by Sarah Peter Contributor

Buying a home for the first time, can be really exciting and stressful at the same time. While being the first-time homebuyer, you may have to worry about obtaining or collecting appropriate finances, advices and ideas. In the first time, there are many things which must be considered, but the most troubling of them is the thought of organizing payment assistance, in order to finance the new home. Here is a total description of first time buyer home loans Houston, which can assist you during your construction program.

Types of First time Buyer Home Loans Houston:

FHA Loans:

These loan programs are a form of go-to-programs for first time home buyers. With this program, The Federal Housing Administration guarantees a large proportion of the loan even for people with a less ideal credit history. Due to this loan program, borrowers with as little as 3.5% down payment of the total purchase price, can qualify for this loan. However, there may be an additional cost for the lax qualifying standards, after obtaining an FHA Loan, you will be applicable to a mortgage insurance premium, which is less than the private insurance, but does last for the whole life of the loan.

VA Loans:

VA Loans are a form of first time buyer home loans Houston, which are only applicable to veterans of the US armed forces and civil services. These are known to be one of the most generous loan options, since they have flexible requirements and can be qualified by most veterans who have served a suitable time in the country’s service. This specific home loan program requires no down payments or mortgage insurance premiums, if the applicant has reasonable Fico scores and credit record.

USDA Loans:

These are special loans, funded by the U.S Department of Agriculture. In order to qualify for this loan program, you do not need to be a farm owner. These loans are specific first time buyer home loans Houston, which can finance up to a 100% of the total purchase price for properties in rural zones. However, there are some limitations and requirements for this loan program such as minimum incomes, property requirements and Fico Scores.

Good Neighbor Next Door:

This home loan program is suited for people in law enforcement, firefighting services or educating. These people can easily qualify for this HUD-sponsored program. The mortgage loans program allow for up to 50% discounts on the listed home prices in selected areas. Just like USDA loans, this loan program allows for homes in particular areas to be revitalized.