One of my buyers just settled on his new home yesterday. He only needed about $3000 of his own money to get in.
Normally, a buyer needs about seven percent of the sales price to buy a home. The down payment on a FHA loan is 3.5%. The closing cost is also around 3.5% of the sales price.
You can be nice Laurel real estate for around $240,00. So on a $240,000 home the buyer would need a total of $16,800 at a minimum to purchase the home.
So how do we reduce that amount of money to something a buyer can afford?
First we negotiate closing help from the seller, usually three percent. Three percent of $240,000 is $7200. Next we give the buyer a grant for $10,000. Now we have $17,200 for the buyer to use.
The buyer now has about $400 extra to use any way he sees fit. This is a much better position for our buyer to be in.
The $10,000 grant from the bank is currently available for people who qualify. The grant fund is limited and usually runs out around October or November.
This buyer got in the home for minimal funding from his own pocket. Contact me today to see if you qualify.