Title:
Locating a Down
Payment
Word Count:
406
Summary:
There are many of
us out there that have not had the luxury to save as much as we would have
liked for various reasons. With this challenge at hand, we will need to track
down a source for a down payment
Keywords:
Finance,
refinance, mortgage, home loan, credit, real estate, broker, banker, lender,
borrowing, money, rates, closing costs, home purchase
Article Body:
Locating a Down
Payment
If you are a saver, and many of you are, than the need to locate a down payment
will not be an issue for you.
But there are also many of us out there that have not had the luxury to save as
much as we would have liked for various reasons. With this challenge at hand,
we will need to track down a source for a down payment.
If you have excellent credit, and when I say excellent, I mean your credit
history is perfect without a blemish on it, you will most likely be able to
apply for a mortgage with 100% financing, if you choose to go that route.
A lot of lenders offer this product, and if you can swing it, than you won’t
need to come up with any cash for a down payment, and you will only be
responsible for closing costs.
If you are unable to go with 100% financing, here are a few ideas you might look
into to come up with a down payment.
Retirement Plans
If your employer offers a retirement plan such as a 401k, you might want to
consider borrowing from it to help out with your down payment. Most 401k plans
offer this option for home purchasing reasons. You do however have to pay this
money back on a monthly basis.
The down side to using a 401k plan is that when you pay the loan back, you are
doing it with after tax dollars.
With that being said, it is still worth looking into, and a lot of people
consider this option.
Family
When all else fails, ask family members to give you a helping hand. This is not
an uncommon practice among newlyweds who often approach their parents for
assistance with their down payment.
If this is not for you, I understand. It can be tough to swallow your pride and
approach family members to help you out.
Save
If you are at the end of your rope, and there doesn’t seem to be any down
payment money in sight. You just might have to bight the bullet, start saving,
and wait it out.
A great way to jump start your savings is with your tax return money. Depending
on what your return is and what percentage the lender requires you to put down,
your tax return could have you in the door sooner than you think.