How big of a down-payment can first time home buyers expect to put down in Long Beach?

Asked by Trulia Long Beach, Long Beach, CA Wed Apr 17, 2013

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Alex Montelo…, Agent, Seal Beach, CA
Thu Aug 6, 2015
Ooh great question. There are many loan programs that come to mind when you mention first time homebuyers. As some have mentioned in previous emails, the VA loan is good if you have served in our military. That can essentially be a $0 money down option. We also have the SCHFA which provides 4% of the purchase price to be used toward downpayment or closing costs. The CHDAP which will allow up to 3%, the CalHFA which has a 5% down but has a built in down pay assist program that is equivalent to 3%+$6500 to be used for down payment an/or closing costs.
I know it all sounds the same right? Call me if you are still in the market and we will find which one best suits you. There are still more loan programs that I haven't mentioned like the Union Bank WISH program or the EDM that does not have PMI.

This is how I best serve my clients. I find them the best options. Call me.

Alex Montelongo/Broker
Coldwell Banker Star Realty
562-810-7387 Cell
BRE Lic#01456982
0 votes
Sheyenne Sch…, Agent, Torrance, CA
Fri Jul 3, 2015
You can go VA loan ZERO DOWN! *if u were in military or currently in military I have the lender!
You can go FHA 3.5% down *most or all of the 3.5% DOWN can be a GIFT from someone you know...it DOES NOT HAVE TO BE A BLOOD RELATIVE..ask me!
You can go 1% down FHA LOAN, and the PROGRAM GIVES U as a GIFT the 2.5% down so total is still 3.5% down!
You can do a 3% down CONVENTIONAL LOAN here in CA...used to be just for teachers, firemen, and policemen...now anyone can do it!
I have loans avail from my lender..who can put you into a townhome or condo in CA that is NOT FHA APPROVED...and u can STILL buy in the bldg...putting only 2% down.. or more, depends on you! But this program HELPS if you DO NOT HAVE 5% down to BUY a condo/ or townhome here in southern CA! WE have the programs for as little as 2% down that can get u into the unit u want!
CAll me at 310-429-4170 Sheyenne Schultz or email me at: shy@shysells.com
I put tons of first time buyers into homes here in CA!
From as far north as Lake Arrowhead, CA to LA and Orange County and Riverside and San Bernardino, some in San Diego areas too.
Need to BUY? Just call SHY! I am in Torrance, CA ! Shy at THE REALTY GROUP!
0 votes
Kawain Payne, Agent, Seal Beach, CA
Thu Jun 13, 2013
It is a number game. Buyers should be prepared to have to write several offers before on gets accepted.

Sellers are favoring offers with 20-30% or more down.

This is a sad reality for first time buyers and their agents.

VA buyers are not required to put ay money down
FHA buyers and put down as little as 3%
Some conventional loan program offer low down payments

BUT, getting an offer accepted with less than 20/30% down will remain hard as long as the investors are l dominating the buying side of the market.

The Real Estate market goes through waves all the time. We are currently in a seller's market, and one in which investors are vey active and gaining the favor of sellers looking to sale fast. Combined with limited inventory the current market is not too friendly for the first time buyer.

My advice to first time buyers:
Stay engaged in the buying process. Be patient. Do not get your heart set on any one house. Look at it as a numbers game. Be prepared to write several offers.

Best Regards,
Kawain Payne, Realtor
0 votes
Roberto Gosim, Agent, Signal Hill, CA
Sat Jun 8, 2013
Interesting question.
If your pertaining to the Long beach program, you need at least 1% of your own money.
Otherwise, if you're talking in general, it's the same with any other cities on different
program like FHA, VA, etc.
Hope this helps.

Roberto
0 votes
Jerome Hodge, , Long Beach, CA
Thu Apr 18, 2013
The previous replies pretty much hit the proverbial nail on the head.
If you looking for an entry level home, say under $350,000 - $400,000, be aware there are many cash buyers still participating in this marketplace. Many sellers will accept a lower all cash offer over an offer where the buyer must acquire a loan.
The way to combat the all cash buyer is to offer a fair-market price, place a larger down-payment, have your pre-approval letter in-hand from a direct lender, and be able to show proof of funds that you have money available to cover that will cover taxes and mortgage payments for the next 6-months!

I hope this helps.

Jerome Hodge
Realtor
First Team Real Estate
DRE 01866533
Cell# 562.413.6068
0 votes
Cindy Davis, Agent, San Diego, CA
Wed Apr 17, 2013
I don't think you're asking the right question. The amount a buyer puts down on a home is determined by the loan program they qualify for, We all know that FHA (or VA) are the most common ways that first time buyers go.

Now, ask me if you can win a multiple bid scenario with these loans, and these days, the answer is often 'no.' Thus, if a first time buyer wants SUCCESS in today's ridiculous buyer's market...chances are they have put 10% or more down.

This market is just not kind to first time buyers.
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Nancy Cardena, Agent, Long Beach, CA
Wed Apr 17, 2013
I agree with both answers below, however, the market is EXTREMELY competitive right now with lots of buyers bidding on a very low inventory of properties for sale. So, in my opinion, with the current real estate market, a bigger down payment of at least 10 - 20% is going to put you in a much better position when submitting an offer on a property that will probably have many other offers along with yours.
Good luck!!
0 votes
Jeff Johnson, Agent, Long Beach, CA
Wed Apr 17, 2013
It does depend on the loan type FHA is at worst 3.5% and at best .5% of the purchase price...if you qualify for a VA loan you would put nothing down.

Jeff Johnson
Prudential CA Realty
562-900-9783
0 votes
Glenn Gaspar, Agent, Signal Hill, CA
Wed Apr 17, 2013
How big? As much as you want. How little? As little as .5% of the "sales price" if you qualify for the handful of DAP, down payment assistance programs, which are available to you such as CHDAP and SCFA to name a few. If you are a Vet you can actually come in with a zero down payment.
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