Financing Solutions in Today’s Market

Are you looking to buy a home?  Are the rising mortgage rates slowing you down?  The market is shifting and you need to know that The Borg Group can help you buy the home that you want. 

In this market, sellers, builders and lenders are offering more assistance to the buyer for affordability.  Do you already have a pre-approval letter to shop with?  If the answer is no, connect with us to introduce you to a handful of our local lenders who know our market and are willing to help get you in your next home.  If the answer is yes, we can work with your lender and find you your dream home.

Here are some financing options that may help.  If any look interesting to you, please reach out to us.  We are happy to introduce you to our lending team and get you the answers you are looking for.

1. Conventional Loan: You can make a down payment with as little as 3 to 5%.  Rates are based on numerous factors including the borrower’s credit rating and loan to value ratio.
2.  ARMs: This solution has borrowers that will shy away from it because it was associated with the Great Recession, but in reality, today’s product is different.  Today’s ARMs are typically fixed for 5,7 or 10 years before adjusting and there are caps on how much the loans can adjust after the fixed period of time and over the life of the loan.
3. Buydowns: Did you know that you can buy down your mortgage rate for the first two years of your loan?  The loan will reset to the original rate for the remainder of the term or you can refinance if rates are lower and it makes sense to do just that.
4. Seller credits: Did you know that you can negotiate with the seller in order to contribute to closing costs or help buy down your loan.  Food for thought…..  a $5,000 drop in the home price will contribute about $30 toward your mortgage payment.  $5,000 might be better spent on buying down the rate instead.
5. Private Lending: The Borg Group has access to several private lenders that offer competitive rates. 
6. Bank Statement Loans: This product is typically used for the self-employed or for people who rely on investment income and may have trouble qualifying for a conventional loan.  Typically the use of asset accounts, bank statements and/or rental income to qualify.
7. Downpayment Assistance: There are multiple local and state homebuyer programs that are available to first time and repeat buyers who meet certain income limits.
8. FHA: FHA loans only require 3.5% for a down payment.
9. VA: VA loans do not require a down payment or mortgage insurance and is available to active and retired military.
10. USDA: Available in designated areas only.  Have income and loan limits.
11. Assumable loans: This product is rare and only government loan are assumable. 
12. Gift funds: Although you can use a relatives funds to gift you the downpayment, many lenders will require that the buyer brings some funds from their own pockets to qualify for the loan in order to prove they can make the payments.

This is not a complete list of options.  Connect with us for help with what will work for you.  We can find you the home that you want to buy and work with a loan officer who understands the creativity that this market offers.  The loan officer will work with you and our team in order to provide you with the best financing options that you can afford.

Connect with us.  We can help.