Step 2: Finance Your Home
Short Version: There are several methods of purchasing a home with little to no money down. Your goal is to cover both the closing cost and the down payment
Here are two of the most efficient methods from our experience:
Option 1) Purchase a home as owner-occupied with closing costs and down payment assistance
Closing Cost: Find a home with a motivated seller willing to pay the closing cost; examples are distressed homes, homes that have been on the market for +90 days, and homes that are difficult to sell. Your realtor can assist you with this task
Down payment: Utilize a company that will cover your down payment after you meet their qualifications. There are several options and ask your loan officer for additional recommendations. Please find a company we have worked with in the past below:
Option 2) Purchase a home as owner-occupied with 100% financing
This will cover both the closing cost and the down payment. These two costs will often be rolling into the purchase price of the home.
For example: If the home’s purchase price is $300k, a down payment of 3.5% would be $10,500, and 3% closing cost will be $9,000. The bank can provide you a loan of $300k purchase price + $10,500 down payment + $9,000 closing cost for a total mortgage of $319,500
