There are many factors you must consider when purchasing a home in Duluth. And contrary to popular belief, it doesn’t matter whether you’re a first-time homebuyer or not. When you buy a home, you should be doing it in confidence, and our mortgage brokers are here to help you do just that. If you’ve been in the market to purchase a home, but you’re still not excited about how the market is fluctuating, rest assured our experienced mortgage brokers will provide you with some facts that may ease your mind. But first, catch up by reading our previous posts to learn the first four of six housing market changes. Continue reading to learn the final two!
5. There are new FHA loan limits in 2016.
On December 9, 2015, the FHA (Federal Housing Administration) announced its new loan limits for 2016. The changes that took effect back in January of 2016 allows homebuyers to access financing with a minimum of a 3.5 percent down payment of the property’s market value; however, there are other requirements you must now meet to be considered for an FHA loan.
6. Loosened Fannie Mae requirements.
The FNMA (Federal National Mortgage Association), also know as Fannie Mae, started giving homebuyers a break starting in 2016. The new program, HomeReady mortgage program, aims to widen access to financing to a wider range of income borrowers. Some of the loosened requirements include: Nontraditional credit, 3 percent down payment of property’s market value, borrower isn’t required to be a first-time homebuyer and many more. Learn more about the loosened requirements here.
There are many reasons why purchasing a home would be great for you and your family. If you’re wanting to learn more about the current, feel free to give our mortgage brokers in Duluth a call. We’re standing by waiting to help put you in the home of your dreams.