Can you get qualified? Even without a substantial down payment saved, you’ll find there are programs—such as the FHA loan program—that make it possible for you to become a first-time home buyer.
Make Your First Home Purchase Your Best-Ever Decision
Take advantage of interest rates. There’s no guarantee that interest rates are going to be this low forever. By getting out of the renter’s game and locking in low interest rates, you can begin a lifelong journey of wealth building.
Use less money down than you imagined. The concept of saving up 20% for money down against a loan can scare some first-time home buyers. But we’ll explain why that doesn’t always have to apply to you.
What You Need to Know About First-Time Home Buying
According to some statistics, a majority of renters who want to buy a home don’t move forward because they’re afraid they don’t qualify! But there are plenty of programs that make it viable for lots of people—even those with poor credit—to qualify.
For many first-time home buyers, the main issue is coming up with the down payment. Many of those who would otherwise buy a home feel they would move their purchase timeline forward if they could make the down payment.
With some first-time home buyers’ terms, it’s possible to pay with a relatively small down payment, much smaller than the usually-expected 20%.
Home sales are as hot as ever, with available homes sometimes going off the market in as little as three weeks in some areas—or even less.
Find favorable terms. When you approach it the right way, your first home purchase can be a door to great terms that help you with your monthly budget.
2 Ways to Use Your FHA 203(k) Loan
Buy a Fixer-Upper (and Fix It Up)
Or... Renovate Your Current Home!
My experience with Syndicate Mortgages was fantastic. Everyone I worked with was extremely helpful and professional. I would absolutely recommend them.- Taraneh H.
Marcus was very helpful during my loan application. He is very knowledgeable and easy to work with.- Rada M.
Warren Krupp at Syndicate was the best and I highly recommend him as a broker. He demonstrated incredible integrity thru out the process and was extremely helpful.- Fernando G.
Great company with professional and responsive staff. I worked with Max and Johann and they were fantastic. Very friendly, helpful, and knowledgeable. I highly recommend this company.- Chris W.
Working with the entire Syndicate Mortgage team and especially Zach Mayer was incredible! They are extremely knowledgeable and took the time to explain the process every step of the way. This was our first home purchase and they made it such a pleasant experience instead of a huge undertaking. Zach was available to us 24/7 and really showed he cared about us and our future home. I highly recommend working with Syndicate! Thank you guys for all the hard work!- Venya M.
I couldn’t ask for better partners. They were very helpful throughout this process and made it as smooth as possible. They spent countless hours looking for the best rates for me and treated me like family. I highly recommend to anyone and everyone. Warren made sure I was always in the loop and gave me great service and a piece of mind knowing this big step in life was in good hands. I also shopped around and they always got me the lowest rate!- Aaron H.
Marcus and his team helped me get financing on my purchase while making sure that I was looked after throughout the entire time. During the four months that the developer pushed back the closing date, Marcus and his team stayed on top of them every other day. My purchase was closed on time, at a rate and payment lower than I expected. They always shocked me, how hard they worked to ensure that I was satisfied and happy. And over delivered on their promises. I highly recommend Syndicate Mortgages. They actually care!!- Gabriel V.
Marcus and Syndicate Mortgage got my VA refi accomplished when other larger and nationally known mortgage companies could not or would not do as they promised. Syndicate worked hard with me and the VA to overcome any roadblocks that seem to have stymied the "big guys". Marcus and his team kept me updated all along and handled the whole process with consideration, humor, tenaciousness and professionalism. I heartily recommend Syndicate Mortgage for your financing needs.- Daniel F.
This was the best, most hassle free mortgage experience I've ever had in well over a twenty financings. Zach was extremely responsive and very professional. The requirements were kept to a minimum and their apps are very easy to use. Zach was the only lead I contacted that was willing to give me an honest quote prior to committing and they will give you as good or better rate than you can get anywhere else. I highly recommend these guys.- Dave L.
Your Renovation Wish List Could Include...
Increase window size
Bring in more natural light
Finish a basement or attic
Create a mother-in-law apartment or guest space
Correct foundational issues
Protect your investment for the long-term
Add a detached garage when one does not exist
There’s room for everyone
Knock down walls
Open up the floor plan to create versatile, welcoming spaces
Flood-proof your property
Add a retaining wall to prevent expensive damage
Repair the pool
Tired of leaks and cracks? Fix the pool & start enjoying it
Expand or refresh the kitchen
Cooking is just more fun in an updated kitchen
Add square footage
Growing your family? Grow your home alongside it!
How Does a Renovation Loan Work?
Depending on the types of repairs you plan to do, you have two options when it comes to securing a FHA 203(k) Renovation Loan: Limited and Standard.
The Limited 203(k) loan
The Limited 203(k) loan is for non-structural or “cosmetic” repairs. It covers up to $35,000 in renovation costs. With a Limited loan, you can do nearly anything that doesn’t affect the home’s structure! Think kitchen and bathroom remodels, carpet and flooring replacement, painting, appliance replacement, and much more.
The Standard 203(k) loan
The Standard 203(k) loan is a loan for projects with repair costs over $35,000. It can be used for structural or non-structural repairs. With a Standard Loan, you have even more flexibility. You can expand the home’s footprint, improve accessibility for differently abled people, and even move the home to a different site.
What Do First-Time Home Buyers Need to Know About Buying a Home?
Why should I buy a home now and not rent until I can save up a massive down payment?
Because there are plenty of options for lowering your down payment! For example, the FHA loan program, which includes loans insured by the Federal Housing Administration, is great for people with low credit scores and not a lot saved for a down payment. That isn’t to say that you shouldn’t save for a down payment—but remain open to all of the options available.
How will I afford my home?
Pre-approval for a first-time home buyer can be a major step in the process, and it’s easier than you think. A pre-approval is essentially a (conditional) promise from a lender that they can offer you the mortgage terms you need to make an offer on a house. This requires an application process that’s much simpler than you might imagine—and great for first-time home buyers who want to shop around and demonstrate to a seller that they’re serious about their offer.
Should I save for a down payment?
Absolutely. Just because you don’t necessarily have to make a 20% down payment on your first home doesn’t mean that you should eschew the process completely. Having a substantial down payment saved never hurts.
I have a low credit score. What kinds of loan programs are there for me?
If you go through the application process and make sure that your payment is in line with what you can fit within your budget (the typical recommendation is a mortgage that takes up no more than 25-33% of your household budget), then you’ll find it’s possible to afford your first home—and the process may be much simpler than you imagined
How do I get pre-approved?
In addition to the FHA loan program as mentioned in the previous answer, you should also look at your qualification for: the VA loan program, the USDA loan program, and even the Good Neighbor Next Door buyer aid program.
What should I do next?
Simple. Click any of our buttons above and find out if your first time home purchase can be as easy as we say it is here. Don’t worry about a low credit score, either—you’ll find that there are plenty of programs out there that can help.