| Because of a larger variety of mortgage loans | | | | zero down home loan, the lender offers 100% |
| available, first time home buyers may become easily | | | | financing. |
| overwhelmed with the home buying process. | | | | Zero down mortgage loans make the goal of |
| Understandably, those entering the housing market | | | | purchasing a new home reachable. Even if a |
| may not know which loan program best fits their | | | | homebuyer cannot afford to pay their own closing |
| needs. Working with a mortgage broker is helpful. | | | | fees, a mortgage broker should be able to locate zero |
| They can guide you through the entire process and | | | | down mortgage loans that offer 103% or 107 % loans. |
| help you select a loan with the least out-of-pocket | | | | The majority of lenders require a high credit rating for |
| expense. | | | | the latter choices. |
| Main Setback of Purchasing a New Home | | | | Options Available to First Time Home Buyers |
| Buying a first home is an American dream. The home | | | | First time home buyer loans offer unique financing, and |
| buying process involves paying out-of-pocket cash for | | | | most loans are tailored to individuals needs. Getting a |
| down payments and closing costs. Unfortunately, | | | | home loan does not require good credit. In fact, several |
| many families are unable to achieve this dream | | | | lenders are eager to offer first time home buyer loans |
| because of having a small cash reserve. | | | | to those with bad credit or past bankruptcy. |
| Years ago, families would have to postpone buying a | | | | Try using one of ABC Loan Guide's Recommended |
| home until they had acquired adequate funds. Because | | | | Zero Down Mortgage Lenders. |
| of rising home prices, many families can no longer | | | | Home buyers can choose from several loan terms: |
| afford to wait. Thus, several first time home buyers | | | | 15-year, 20-year, 30-year, or 40-year. Lenders offer a |
| are taking advantage of zero down mortgage loans. | | | | variety of loan options, which create affordable living. |
| How Do Zero Down Mortgage Loans Work? | | | | Because of low interest rates, buyers can take |
| There are many different types of mortgage lenders. | | | | advantage of a low fixed rate. Furthermore, there is |
| Some lenders will only finance 80, 90, or 95 percent of | | | | also the popular interest-only mortgage option for |
| the home price. Thus, homebuyers would need a | | | | those buying homes in overpriced markets. |
| down payment for the remaining percentage. With a | | | | |