Are you tired of paying rent? Have you been dreaming of owning your own home? Owning your own home is very possible for first time buyers in the Grand Rapids area and it’s not as difficult as you may think. It’s a distinct possibility that you may be able to buy a home in the Grand Rapids area and make a monthly mortgage payment as the same amount as your rent. Why pay rent on someone else’s home when you can make payments on your very own home and make an investment in your future? With the help of one of these programs, as a first time home buyer, you may be on your way to making your dream home come true.
Grand Rapids Homebuyer Assistance Fund
Funded by the city of Grand Rapids, the Homebuyer Assistance Fund offers first-time homebuyers with up to $5,000 towards their down payment and closing costs. This generous assistance fund is an interest-free second mortgage loan, but there are no monthly payments. You must stay in your home for a minimum of five years, then the loan will be forgiven and there is nothing to pay back.
Michigan State Housing Development Authority Assistance Fund
The state also has down payment assistance available to qualified first-time buyers through the Michigan State Housing Development Authority (MSHDA). Repayment of the loan is due when the house is sold or if the mortgage is paid in full.
The Federal Housing Administration (FHA) offers special loans at a reduced rate to qualified first-time buyers through FHA-approved lenders. Because the federal government is insuring your mortgage, you can get an FHA-approved loan with less money down on the loan.
If you are a veteran, you might be able to get an inexpensive loan through the Veterans Administration. There are requirements as to how long you need to be in the service and other qualifications. In many cases, the VA offers no-money-down loans.
The USDA offer good loans with no down payments needed. To be considered for a USDA loan, you just have to meet some income requirements and purchase a loan in a rural area.
Chances are excellent that you will qualify for one of these programs, or another program that your lender will know about. Even if you go with a conventional loan, you will probably only need to put down a deposit as low as five percent of your total home cost. This is good news for anyone looking to buy a home in the Grand Rapids area.
Want to learn more? Visit our Grand Rapids nieghborhoods page to view more information about specific neighborhoods and communities in the Grand Rapids area.