SHIP Funds is another form of down payment assistance. SHIP stands for the State Housing Incentive Program. SHIP funds qualifying requirements can vary from county to county, and the criteria for qualifying for these funds usually is based on how much or how little income you have as well as how many people are in your household. The lower your income level, and the more people you have in the household the more assistance you may be eligable for. Becuse the rules vary for this type of assitance we strongly recomend you call us to help you navigate the requirements and paper work if you are planning to apply for this type of down payment assistance. SHIP Funds in some counties will have to be repaid in the form of low interest rate loans, and in other counties will have no repayment based on how long you will have to spend in the property. Call us today, and the profesionals at Mortgage Solutions will be happy to help you with any questions you may have.

Gift from Family
Parents and other family members are often anxious to help children buy their first home and may have the means to give you a gift of money for a portion or all of your down payment. Call us and we can tell you the proper ways that Gifts can be documented so that it is acceptable to any lender if this is the route you are planning on taking.

Different types of loans for low money or no money Down.

• FHA Loans
  The Federal Housing Authority (FHA), which is part of the U.S. Department of Housing and Urban Development (HUD), plays a significant role in helping low- to moderate-income families qualify for mortgages. FHA assists first-time buyers and others who would not qualify for a conventional loan, by providing mortgage insurance to private lenders. Interest rates for an FHA loan are usually the going market rate, while the down payment requirements for an FHA loan are lower than conventional loans. The required down payment can be as low as 3 percent and the closing costs can be included in the mortgage amount.
   

• VA Loans
  VA Loans are guaranteed by the U.S. Department of Veterans Affairs. Service persons and veterans can qualify for a VA Loan, which usually offers a competitive fixed interest rate, no down payment and limited closing costs. While the VA does not issue the loans, it does issue a certificate of eligibility required to apply for a VA loan.
   

• Piggy-back Loans
  A second mortgage that closes with the first. Often the first mortgage is for 80% of the purchase price and the "piggyback" is for 10%. The home buyer covers the remaining 10% with their down payment. (Some lenders will write a second mortgage of 15% or even 20% of the purchase price.)
   

• call Mortgage Solutions today, and we will help you qualify for the best mortgage with the lowest possible rates and least amount of money out of your pocket.
  
  

Using Sweat Equity for Down Payments

sweat equity is nothing new, its actually been on the books since 1932, and has been accepted as a source of down payment for just about as long as there have been goverment insured loans. Unfortunately it has been rarely used as most loan officers do not understand how it works or how to utilize it. Sweat Equity can give a tremendous benefit to homebuyers who are short on cash but are willing to put some elbow grease into the purchase of thier new home. The polular misconception is that you have to have been renting the home you are purchasing or doing a refinance in order to use sweat equity to gain a favorable LTV position. This is absolutely not the case. Sweat Equity can be utilized on any purchase where the home needs some type repair or reconditioning weather the repairs are purely comsemtic or something more extensive. The fact is that you can use sweat equity to purchase your home rather than come up with any down payment at all. Call us today to find out the exact details of how this all works and we will be happy to walk you through the process step by step. We have all the forms and addendums that you will need in order to make your transaction as smooth as possible. By using our sweat equity agreement forms you may not have to have any down payment in order to close on your new home! 

Housing Finance Agencies

These agencies offer special loan programs to low- and moderate-income buyers, buyers interested in rehabilitating a home in a targeted area, and other groups as defined by the agency. Working through a housing finance agency, you can receive a below market interest rate, down payment assistance and other incentives.

• The primary mission of Housing Finance Agencies is to boost home ownership in targeted areas, among first-time buyers and those with little money for down payments. Most of these non-profit agencies were funded with state government seed money and now operate independently.

  Click here for a list of Housing Finance Agencies.