Down Payment Assistance: Pros, Cons & What Metro Atlanta Buyers Should Know
For many Metro Atlanta buyers, the biggest challenge is not necessarily making the monthly mortgage payment. It is coming up with the down payment, closing costs, and other upfront expenses needed to purchase a home.
Down payment assistance programs may help qualified buyers reduce some of those upfront costs. Depending on the program, assistance may be available toward the down payment, closing costs, or both. Programs are structured differently, so it is important to understand both the benefits and possible drawbacks before deciding whether one fits your homebuying plans.
Pros of Down Payment Assistance
Less cash needed upfront.
Assistance may reduce the amount of money you need to bring to closing.
You may be able to buy sooner.
Instead of waiting another year or two to save additional money, assistance could help make homeownership possible sooner.
It is not always limited to first-time buyers.
Some programs may also be available to repeat buyers who meet the applicable requirements.
Some programs offer favorable terms.
Depending on the program, assistance may include low-interest, deferred-payment, or other repayment options.
Cons to Consider
Some assistance must be repaid.
Repayment may be required when you sell, refinance, or no longer use the property as your primary residence.
Qualification requirements apply.
Income, credit, purchase price, property type, location, and other guidelines may vary by program.
Your financing choices may be affected.
Some assistance programs work only with certain mortgage products or participating lenders.
The lowest upfront cost is not always the best long-term option.
Buyers should compare the monthly payment, loan terms, and repayment requirements before making a decision.
Is Down Payment Assistance Worth Exploring?
If you have steady income and can comfortably handle a mortgage payment but upfront cash is holding you back, down payment assistance may be worth exploring.
The goal is not simply to find the program offering the most assistance. It is to find the right combination of home price, financing, monthly payment, and assistance program for your situation.
Could Down Payment Assistance Help You?
Answer a few quick questions about your homebuying plans. After our consultation, the Quillie Real Estate TEAM can assist you in finding a lender who works with down payment assistance programs that may fit your situation.
SEE WHAT OPTIONS MAY FITProgram availability, assistance amounts, repayment terms, interest rates, credit requirements, income limits, property requirements, and eligibility guidelines are subject to change. Final loan and program eligibility is determined by the participating lender and applicable program guidelines.
Categories
Recent Posts
GET MORE INFORMATION
