FHA Mortgage Loans For Maryland First Time Home Buyers
Whether you live in Montgomery, Howard, Prince George's or Frederick county, there are many mortgage loan options available to you as a first time home buyer. One of the biggest barriers to first time home buyer ownership is the ability to save money for a downpayment. In counties such as Montgomery, where the average home price is $400,000 plus, even a 5% or 10% downpayment amounts to a great deal of money.
Consider a renter, who lives in a townhome for 5 years and is now paying over $2000 a month without the benefit of equity or tax savings. This person can readily purchase a nice townhouse, with little or no downpayment through a first time home buyer mortgage program.
What is a FHA loan?
FHA stands for Federal Housing Authority. The FHA does not make loans directly to first time home buyers, instead it insures the loans so that Nationwide lenders can offer you favorable loan terms. This includes the interest rate on the loan and the type of loan that you get. As with all loans, you must qualify for a FHA loan. Loan qualification criteria is based on several factors that must be assessed on an individual basis.
How to qualify for a FHA Loan
A seasoned lender can qualify you for a FHA loan. It is extremely important to work with a knowledgeable lender. Many first time home buyers find themselves in a situation where their loan officer neither informs of first time home buyer assistance programs such as FHA loans until they hear it from someone else - by which time it's too late.
Get more information about First Time Home Buyer financing assistance programs at http://www.mdhomebuyers101.com Sign up for a free seminar to discuss the local real estate market and assistance programs available to first time home buyers such as FHA, CDA, HOC, VA, etc
Source: http://ezinearticles.com/
Added: March 22, 2008