Purchasing a home for the first time is always an exciting moment, especially since many nice options do not come cheap. It can also be daunting to have to come up with a big down payment or to figure out where to get the money for the closing costs.

However, there are a number of assistance programs out there for first-time homeowners to take advantage of in California.

According to California law, people are considered a first-time home buyers if they have not owned and lived in a home for three years.

The first-time loan program helps people get government-insured and fixed-rate loans while giving the option to roll down payments into mortgages. This program has a minimum credit score requirement and requires people to get homebuyer counseling and receive a certificate of completion. Permitted properties for the loan include houses that do not exceed $705,000 in price and must be a single family one unit house.

Conventional loans are fixed loans for a 30-year period and can give people the option to combine with other programs for down payment and closing cost purposes.

Loans that are insured by the Federal Housing Administration are provided as well. These come with a 30-year loan, but buyers must meet specific federal borrowing and property requirements. Some variations of the program also give aid money to help with closing costs.

Another program allows first time buyers to combine energy efficient mortgages with grants for certain home improvement projects. These loans are fixed for 30 years. People interested in this program must work with a qualified energy assessor to identify potential projects.

Other programs focus on helping home buyers with down payments. These can be tough because a lot of people might not have the resources or capital to devote to a large down payment. There are a few different programs targeted towards people to help them bridge the gap.The MyHome Assistance program lets people utilize a junior loan to help pay for closing costs or down payments. It can often be combined with other programs.

Another is designed for those in the educational field who work at a K-12 school in California. These loans can only be used for down payment assistance or closing costs.

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If you are interested in taking advantage of one of the above programs for first-time homeowners, make sure to get started on the process early. Interest rates can vary, so be sure to speak to one of our lenders to decide what is the best deal for your particular situation. Speaking with our experienced professionals will make the entire process easier.

There are a plethora of resources out there to help first time homebuyers get started on purchasing a house with advantageous conditions. Make sure to study your options to see how you can get help with payments and closing costs.

Are you interested in learning more about loan programs for first-time home buyers? Click here to contact the Ryan Grant Team today!

Courtesy of Cuselleration