Golden Valley FHA
One of the common ways of financing a purchase of Golden
Valley real estate is through a loan program known as FHA
(the Federal Housing Administration). This
federal program originated back in the 1930ï¿½s to help with a similar situation
we have today when home foreclosures were growing rapidly. FHA loans have many
advantageous guidelines for both the MN first time home buyer as well as the
homeowner who is renting out their current home to buy another.
While the days of the no down payment loan are largely gone, Golden Valley
FHA mortgages offer the smallest down payments available in Minnesota. With a
smaller down payment along with the seller paying much of the buyer's closing
costs today allows the Minnesota home buyer to get in for a much more reasonable
down payment. This is also a great advantage for Minnesotans who are selling
their home with little or no equity and need to buy their next home with a
smaller down payment than usual.
FHA and Credit
FHA loans offer more expansive credit guidelines as well. Golden Valley home
buyers who have some credit challenges may qualify for FHA whereas not a
conventional loan. Additionally, unlike conventional loans which have
significant pricing adjusters based on the home buyers credit scores, rates and
discount points with FHA loans vary only slightly based upon the borrower's
One important factor you should know about FHA loans is called assumability.
This means that in the future when you are ready to sell, the new home buyer of
your home may have an option to take over the payments on your loan and assume
the obligations of the loan. This could be an attractive selling feature to your
home if interest rates are higher when you put your house up on the market for
sale. When a new buyer assumes your FHA loan they make up the difference between
your sales price and your loan amount through a down payment.
FHA Down Payment Assistance Through Minnesota Housing Finance
First time home buyers in Golden Valley may benefit through beneficial
interest rates and down payment assistance through Minnesota's MHFA program.
This state agency buys FHA loans and makes use of special program features which
allow for second mortgages on the property to be used as a method of reducing
the first time home buyers required down payment. While maximum income limits
apply for this program, a traditional FHA loan does not have maximum income
To Buy A Home: Get Preapproved
For many Minnesota
first time home buyers the big, intimidating question is where do I start
the process? Your first step to home ownership is to get preapproved for a
mortgage. By doing so you find out how much of a loan you are qualified for so
that we can research homes in a comfortable price range.
The fine City of Golden Valley is an inner ring
suburb of the Twin Cities, lying on the western edge of Hennepin County. With
major employers such as Tennant Company and Honeywell, Golden Valley is also has
the corporate headquarters of General Mills. With an excellent city department
for Park and
Rec Golden Valley offers something to do for everyone. Just a short commute
away from downtown Minneapolis homeowners of Golden Valley have access to a wide
variety of employment as well as cultural activities. If you are thinking about
buying or selling Golden Valley real estate please take a moment to call me.
If you would like to learn more about buying a Golden Valley home using an
FHA loan, please email me or give me a call. With great rates and low prices
today, it is a great time to be a home buyer in Minnesota!
Scott Schultz www.scottschultz.remax-northcentral.com
Sales Executive, Licensed Realtor in Minnesota
14451 Founders Lane
Valley, MN 55124
With a focus on Apple Valley real
estate and surrounding communities.