Nowadays, very few people can manage a 20% down payment on a new home. This is unsurprising when you consider the average house price is around $400,000. Fortunately, times are changing, and it is now not necessary to come up with this much capital to buy your first home.
If you are dreaming of homeownership, but lack the funds for a down payment, you might be surprised to learn that you may not need one at all. There are assistance programs out there that can help you achieve your dream. Down payment assistance programs in Franklin TN are available for low to moderate earners to help them take a step up on the property ladder. The best way to figure out where you stand, is by reaching out to Compass Mortgage.
Four different down payment assistance programs are available. However, depending on where you live, not all will be offered:
It is also important to note:
DPA programs can also change from year to year. What was offered last year may not be available this year, and it can change again the year after that. Be sure you are looking at up-to-date information when researching the down payment assistance programs available to you.
DPA programs are not given to everyone. They are specifically reserved for qualifying persons. Although the criteria vary between areas, the following points apply almost everywhere:
Targeted areas have been federally identified as requiring economic stimulation. Therefore, DPA programs are more readily given or higher in amount if you choose to buy in a targeted area.
The amount on your down payment assistance loan in Franklin, TN you could possibly receive depends on your circumstances. You could qualify for nothing, or you could qualify for a grant of many thousands of dollars.
Typically, DPA programs can be used for closing costs too, but this is not guaranteed and will be stated at the application stage.
DPA will only be granted if you take a mortgage from an approved lender such as Compass Mortgage. The most common loan types are generally accepted, including:
If you are unsure about which mortgage will allow you to qualify for a DPA loan, talk to your approved Franklin TN lender.
Home loan down payment assistance in Franklin is available through the Tennessee Housing Development Agency. Unfortunately, grants are not currently offered, but you can get a Great Choice home loan offer:
Talking to an approved mortgage lender is the best way to understand more about what is available in your area. DPA programs can change from year to year, so talking to an expert will ensure that you are receiving information that is up to date.
For the Franklin, TN area, contact our expert team at Compass Mortgage. Being specialists in mortgages, our team knows the ins and outs of the different assistance programs and the best mortgages to accompany them.
If you are struggling to come up with the down payment to buy a home with a DPA program, you could find out that it is now suddenly within reach. Everyone deserves a step on the property ladder. A modest income should not prevent that. Talk to Compass Mortgage today and find out what is available to you.