While the years of the zero down payment loans have gone away for most of us, North Saint Paul FHA mortgages offer down payments as low as 3 and one half per cent of the sales price. This along with the fact that most negotiated purchase agreements today involve seller paid closing costs allows for a much more achievable entry cost. This can also an advatage for current home owners who want to sell their home but have little or no equity and need a program featuring a small down payment to buy their next home.
North Saint Paul buyers will also find that FHA loans offer more expansive credit guidelines than other types of home financing. North Saint Paul home buyers who have some credit challenges may often find that homeownership is a possibility due to this excellent federal program. Unlike conventional loans which have big pricing adjusters based on the home buyers credit scores, rates and points on FHA loans vary only slightly based upon the home buyers credit score.
One compelling fact about FHA mortgages is that they are assumable. This means that when you are ready to sell your home, the new home buyer of your house may have an option to take over your mortgage if they qualify. This would be a great selling feature to your home if market interest rates are higher when you put your house up on the market for sale. When the buyer of your home assumes your FHA loan they will make a down payment equal to the difference between your sales price and your existing loan balance at the time.
North Saint Paul first time home buyers also may benefit through beneficial interest rates and programs for down payment assistance through Minnesota Housing. This state agency makes use of FHA's special 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 may apply for this program, a traditional FHA loan does not have maximum income limits.
The first step in the process of buying a home s to get preapproved for your home loan. This means that you meet with a local mortgage lender who will review your credit, income, etc. In the prequalification application they can tell you what types of Minnesota first time buyer programs you might be qualified for. This important first step can be done right over the phone and most lenders will arrange to talk with you when you're off work, even in the evenings or weekends.
The city of North Saint Paul is one of the more mature suburbs in the Twin Cities area with older homes and well planned neighborhoods. Located east of Saint Paul, MN, North Saint Paul is situated in Ramsey County. With a little over 11,000 residents living in North Saint Paul is a little like living in a small town, but has all the benefits of the Twin Cities. Due to it's affordable home prices, North Saint Paul can be a wonderful place to search for homes for the Minnesota first time home buyer. If you are looking to live in North Saint Paul please take a moment to give me a call.
If you want to learn more about buying a North Saint Paul home using FHA financing, please don't hesitate to give me a call. With low prices and historically low interest rates on FHA loans it is a great time to be a home buyer!
Licensed Realtor in Minnesota
Keller Williams Realty
2680 E Snelling Drive North
Roseville, MN 55113
With a focus on Saint Paul Homes for Sale