Home Buying in 19711>Question Details

Amy Eyre, Home Buyer in 19711

I am from Delaware. If my credit score is between 670 and 700 and I am a first time home buyer are there any

Asked by Amy Eyre, 19711 Mon Aug 11, 2008

federal or state programs that I may qualify for and what kind of mortgage rate would I be looking at? Also, I heard that if you pay more points at settlement you can lower your interest rate. Is this true?

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Great question Amy! Find a Lender that will work with you and that Lender should also be able to give you advice on how to improve your Credit Score. Your Lender should be able to advise you of the varies State and Federal programs.
If you can buy down points at the beginning of you loan process, it will reduce your interest rate. But buying down points is not always an option. Ask your Lender.
0 votes Thank Flag Link Wed Aug 19, 2015
Hi Amy,
Finding the right lender is key for a 1st time homebuyer. You can pay down your interest rate by adding points but it typically is costly to do that! Usually 1 point cost (1% of loan amount) for each 1/4 point rate drop. Most 1st time buyers don't have that kind of money so I think finding the best lender is the better answer for making sure you get the best deal. I would be happy to help you when you are ready to start discussing all aspects of purchasing a home in DE :)
0 votes Thank Flag Link Wed Aug 19, 2015
Hi Amy! Great job on your credit scores. There are several programs you may qualify for as a 1st time buyer. As someone who works alot with 1st time homebuyers, I can tell you it is very important that you find a lender who offers many programs especially the government funded ones. Make sure you have a realtor who works the 1st time home buyer niche because we know where to find the lenders with the best programs to meet your needs. And, yes no matter what type buyer you are you can buy down your interest rates with points being paid. It is important to know if that is your better option. Good luck and if I can be of assistance, let me know.
0 votes Thank Flag Link Thu May 6, 2010
Check out the Delaware State Housing Authority web site for information on state programs. For answers about points and interested rates, you want to contact a reliable mortgage source. If you need assistance, feel free to give me a call.

Doris Shorts
Realtor®, Keller Williams Realty
Email: doris.shorts@gmail.com
Direct: (302) 312-6093
Office: (302) 299-1100
Fax: (302) 299-1200
1521 Concord Pike, Suite 102
Wilmington, DE 19803
0 votes Thank Flag Link Thu May 6, 2010
The Delaware State Bond Program is out of money for the 3% grant assistance for the rest of this year. New Castle County has two programs that are still available and the City of Newark has several programs. You can also look into a USDA Rural Housing Loan which will lend you up 102%. For more information on Down payment assistance programs in Delaware visit


John Thomas
Certified Mortgage Planner
Primary Residential Mortgage, Inc.
302-703-0727 Office
302-588-3665 Cell
0 votes Thank Flag Link Wed Oct 21, 2009
It is an exciting time for you as a 1st time buyer. There are several programs out there, interest rates are low and sellers are motivated. Even with credit scores tightening up, you are doing good with your score. Congratulations! Delaware State Housing (DSHA) is an option for you as well as FHA loans. Some lenders have programs from their company as well. It is important that you find a lender that you are comfortable with, one that understands the programs available and who works with buyers in your price range. That is also true for the realtor you choose. Good luck and enjoy the experience.
0 votes Thank Flag Link Sat Sep 20, 2008
In addition to what Jaqueline posted, you should know that if you use the DSHA bond programs you may not be eligible for the new federal tax credit program that can be as much as 7500.00. Also if you do use the State bond program allow yourself at least 30-45 days for settlement. The state needs to approve you for the pogram in addition to loan approval fro the banks underwriting dept.
0 votes Thank Flag Link Mon Aug 11, 2008
Hi Amy,

There are state and local programs but the criteria depend on your income. Check my web site for more information (under For Buyers).

You definitely qualify for a mortgage based on your scores so your next step may be to contact a lender and get the ball rolling. I have a lender in my office if you want the info. And yes, paying points will lower your interest rate.

Good luck!
Web Reference: http://www.jroark.com
0 votes Thank Flag Link Mon Aug 11, 2008
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