You’ve heard the news—interest rates are at historic lows. That’s great news, but when other expenses like rent and utilities are increasing, it makes it hard to save for a down payment. You’re not alone in this challenge—access to a down payment still remains the number one obstacle for homebuyers.
Down payment programs largely untapped
Down payment assistance can make a significant impact to your home buying bottom line, and it’s never been truer than in today’s market. According to our latest Homeownership Program Index, there are nearly 2,500 homeownership programs available across the country (find out what’s in your backyard here). Yet, many homebuyers are unaware of the programs that are available to them.
In fact, a survey by NeighborWorks America found that 40 percent of respondents did not receive any information about down payment programs for middle-income homebuyers.
How do these programs help you? We review the top six ways you (and the housing market) can benefit:
1. Helps you purchase a home sooner. Many buyers remain on the sidelines, saving money and watching interest rates. Down payment programs may provide grants (gifts) or forgivable loans for your down payment and closing costs. These resources can immediately build your buying power, helping you take action on a purchase more quickly. keep reading