5 Things NC First Time Homebuyers Should Know
In February of 2014 – the newest part of the Government’s program to help people buy a house is in place! This is great news for folks interested in NC First Time Home Buyer Programs!
If you are ready to move out on your own, and Kiss Your Landlord Good-bye… CONGRATULATIONS!
We offer first time homebuyer programs from NC Housing Finance Agency. The NCHFA program allows you to purchase a home with little or no money out of pocket, can offer you a Tax Credit (in the form of MCC) and might allow you to purchase a home with a credit score of less than 640! (they accept a 600 credit score!)!
So, if you are a 1st time home owner (or you haven’t OWNED a home in 3 years) ask us about the NC First Time Home Buyer Programs we have available to you!
The NC Housing Financing Agency Program works with FHA, VA, USDA AND Conventional loans. You might qualify for a 3% government GRANT that will help you buy a home!
Here are FIVE THINGS we think every First Time Home Buyer should consider before making that move:
- When you buy a House – you get a Raise! Uncle Sam definitely sees benefits in having homeowners, so you get to “write off” the interest you pay each month on your taxes! We advise First Time Home Buyers to see a tax professional, and consider changing your W-4 when you purchase! This way, instead of the government giving you a $2400 refund… you get a $200 RAISE! (seriously, you can bring home more each month and not owe on April 15!)!
- You CAN get into a house with no money – but it’s HARD. We would suggest that you have at least $1500 if you want to buy a house. Yes, you can get the seller to pay closing costs… and yes, you can use your VA benefits (if you have them) to buy with no money down, and / or you can use USDA no money down loans… but you’re going to want an Inspection of the home, you will have to pay for your Home Owners Insurance, your part of the taxes… you need a LITTLE money! REMEMBER, with NC Housing Finance Agency, you might qualify for a $8,000 Grant!
- Go ahead and meet with a mortgage lender EARLY in the process! Let them peek at your credit, look at your paystubs and give you an honest assessment about your decision to purchase! You might think you have to wait 6 months – and we might be able to tell you NOW is the time! Even if it IS six months – let us talk to you about the taxes, and insurance and the tax benefits! Let us HELP YOU get your credit in order – it is what they do all day, and we don’t charge for that help! (Here are some questions to ask your lender!)
- Use a Real Estate Agent (period). You will NOT get a better deal without one. Do NOT go to a new home Community and think that the sales person there is going to help you get the best deal… get a Real Estate Agent that is working for YOU. That does NOT mean that you have to pay for them – you don’t… but they work on YOUR behalf! (We know some GREAT ONES!)
- Don’t believe everything you read on the News! Yes, the real estate market has tumbled… IN CALIFORNIA! We live in North Carolina! Housing sales have slowed, and there are SOME foreclosed homes available… but for the most part, this is one of the best markets in the WORLD – and it will continue to be a great investment because we have over 20 Colleges and Universities in the area, State Government (the Capitol) and MAJOR World Class Hospitals! These are jobs that keep on tickin’… when the Economy comes back… we have the RTP, Distribution Centers, and Tech jobs everywhere!
So Relax! You can do this! We also offer NC Housing Finance Agency First Time Home Buyer Programs you might want to get more information on!
If you are considering a home purchase in Raleigh, Cary, Apex (or anywhere in the Triangle Area) we encourage you to work with a professional home buying team! We know what Insurance agents are going to really listen to you, and help create a policy that covers you from disasters – and one that works within your budget. Your home is an Investment, and as such, you will want to Insure it properly! Call Raleigh Cary Realty, our agents will answer all of your Homebuying Questions!
The First Time Home Buyer Program in NC
We talk to many First Time Home Buyers who are READY to get a new house, but just don’t know where to start. Especially as we begin 2013, and we’re seeing more and more of a shift toward a sellers’ market in Raleigh. Some communities are extremely strong for sellers, others not-so-much but, many are neutral.
Buyers are seriously shopping for those homes for sale this month as we are coming upon the typically hotter markets of the Spring in Raleigh Cary Home Sales. For many of the First Time Homebuyers we talk to – CASH is a common “barrier” keeping them from buying a home.
GREAT NEWS FOR FIRST TIME HOMEBUYERS IN RALEIGH
NC has one of the VERY BEST First Time Home Buyer Programs in the Country. There are a few requirements, but for the most part, it’s pretty easy to find a home that qualifies, and the underwriting guidelines for the program are pretty sweet too!
First off, the program is NOT just for First Time Homebuyers. If you are a buyer who has not owned a principal residence during the last three years (so you rented out your previous home instead of selling it?), then you ALSO qualify for the program!
- The house must be located in North Carolina and you must occupy it within 60 days of closing.
- Your annual household income can not exceed the allowed limits. They do vary by county, but for MOST of North Carolina (read not the Metro areas like Raleigh, Harnet County or Franklin County) the income limit with 1 to 2 people in your household is $57,500 and for 3+ people in the household it’s $66,600.
- The sales price can not exceed the maximum limit set – which is currently at a price of $225,000
- You must be able to prove legal residency. This is an important piece of the puzzle. NC will allow first time homebuyers (and those who have not owned a primary residence during the last 3 years) to buy a house even if you are a non-citizen, but you have lawful permanent residency in the United States . Non-citizens who cannot demonstrate legal residency are not eligible for this NC First time Homebuyer program ;(
Borrowers will need to have 2 of the three credit scores at or above 600 to qualify. Higher scores ARE required for other programs, including the down payment assistance (DAP $8000 for your downpayment!). Remember, another great part of this program is that it has a TAX CREDIT that is in ADDITION to what you would normally be able to write off in mortgage interest deduction!
Different types of houses that qualify for the NC First Time Homebuyer NCHFA loan are:
- New and previously owned detached homes
- Townhouses and Planned Unit Developments
- Condominiums
Manufactured homes also qualify for this program, however, they are VERY VERY difficult to get financing for trailers in NC. We suggest that folks who are interested in buying a Manufactured or Modular home seek out this program through BB&T or Wells Fargo.
CAUTION First Time Home Buyers!
Many home buyers think that a ‘pre-qualification’ letter is good enough. We utilize lenders for our clients who take them through the approval process to the point that there is little to no chance that the loan amount is incorrect or won’t make it’s way to the Closing table.
In order to compete in this market, you MUST obtain a pre-approval from a lender. Your Offer to purchase your dream home will carry far more weight with a pre-approval letter than a pre-qualification letter any day of the week! Contact us if you would like a list of lenders who can get you seamlessly through the process.
Call Raleigh Cary Realty! We’d love to help you with your first Dream Home 919 439 0965!
