For those looking to buy a home, the process of choosing and working with a Rosemount home mortgage lender can be a stressful process. Finding the right mortgage lender that offers you the right choice of mortgage lending options is important. MN Mortgage Guy is can make this process easy, as we keep our client’s best interest first.
For low-income individuals with a credit score under 620, you may consider a Federal Housing Administration (FHA) loan. It only requires a 5% down payment. The FHA was created to encourage and facilitate home ownership for people who do not have a great credit score and cannot put much down. If you are a veteran, then a U.S. Department of Veterans Affairs (VA) loan is probably the best option for you and your family. There are many great benefits of VA loans including no down payment, no mortgage insurance, and low closing costs. You will not be able to find a cheaper loan in the mortgage lending world. To qualify, you will need a credit score of at least 620 along with a VA certificate of eligibility.
For most people, the standard home loan that requires 20% down and a credit score above 640 is the best option to ask for from your mortgage company. The best part about the conventional loan is that they do not require mortgage insurance if you put 20% down. Another benefit is that you can have a much higher maximum loan amount. FHA loans generally only go up to about $271,050, but conventional loans can usually go up to $424,100.
These are just some of the different loans available to potential home buyers. You should find a mortgage lender you can trust to discuss your options. If you live in the Minnesota area, reach out to Minnesota Mortgage Guy today. He will be happy to assist you on the path to owning your new home.
Need help to prequalify for a mortgage loan? We're here to help! Ask about Rosemount first time home buyer program.