Hawaii Real Estate Market has been recovering with on-going low interest rate on home loans.
How would you take advantage of this market and lock the low interest rate on your first home?If you are veterans, you should definitely take advanatge of VA loan with 0% down.
Many people might be finding themselves and say, "Yes, but not ready for down payment yet". What if you can put down low down payment, let's say, 3%? Is it doable? Conventional loan requires 20% down. Let's say, you find a home for $300,000. 20% down is $60,000 already. Lots of people find that pretty challenging. Hawaii Home Ownership Center is a non-profit organization who helps the 1st time home owner with education and offers down payment assistance programs.
Now, with 3% down, you put down $9000, and balance($51,000) would be like a 2nd mortgage with low interest rate(let's hope it will stay that way).
Because this program will help you to put down total of 20%, it's still the same as the person who puts down 20%. That means...no mortage insurance you would have to pay. Usually Banks would ask you to pay PMI(Purchase Mortgage Insurance) with less than 20% down. That's another $300-$500 a month in addition to monthly mortgage, maintenance fee, association fee, and etc. Because there are more condominum buyers than single home houses in town in Honolulu, that's the reality to really think about how you can save money on something you wouldn't have to pay.
Our agency iProperties Hawaii supports this Hawaii Home Ownership Center as well as other non-profit organizations. contact me for more info on this programs offered by HHOC.
hitomi@iproeprtieshawaii.com
No comments:
Post a Comment