- First time home buyers have many options beyond FHA.
Mortgage Option for First Time Homebuyers
If you are a first time home buyer currently living in a 2 family home, wouldn’t you love to own it and have your tenants pay part or most of your mortgage? As a first time homeowner, you may be qualified for New York State’s SONYMA mortgage.
Here is how it works. All you need is a down payment of 3%, of which only 1/3 of it has to be your own money. The remaining 2/3 can come from a gift from family. On top of it, SONYMA will also give you a grant of $5000 or 5% of the loan amount, which ever is greater, to use for closing costs. It gets better, your interest rate, depending on income can range from 5.75 to 6.25%.
Read Also: Documents to gather before meeting with your Mortgage Professional.
Here is an example for a purchase of a $150,00 duplex, with property taxes of $3500 per year. Each apartment rents for $700 per month. With the SONYMA mortgage you will only need approximately $4500 to close. Your portion of the $1272 payment would be only $572! Not bad for a $150,000 house.
There are many mortgage options, it is important to speak with a Mortgage professional and your Realtor to ensure that you get the right deal for you. Interested in purchasing a home? Call us today at (716) 650-0051 to find out more or fill out our request form below.
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