Life After Graduation

Mortgages

Traditionally, you need to have 20% of the total cost of your home ready to pay up front. This is called a down payment. However, there are several options for down payments less than 20%. Some banks will lend you money for a mortgage if you have less than a 20% down payment, but they may charge an extra monthly fee for mortgage insurance. 

Special Mortgages for Low Down Payments:

• FHA Loan

  Requires only a 3.5% down payment, insured by the Federal Housing Administration.

• USDA Home Loans

  Backed by the US Department of Agriculture, this loan allows you to purchase a home with a down payment of zero if you live in an eligible rural area. Most of West TN (excluding Memphis) is eligible!

• VA Home Loans

  For veterans. You can get up to 100% financing (no money down), depending on your type of service and other factors.

• Zero or Low Down Payment Loans
  From NerdWallet. Private lenders (these are not backed by government agencies like the loans listed above) that may not require a large down payment, based on your credit score and other factors.

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• How much house can I afford?

  Calculator from NerdWallet.

• What kind of questions should I ask before buying a home?

  How old is the roof? When were the appliances last replaced? Are there any nuisance factors? How many offers have been submitted?