What is a 1% down loan?
It's a conventional mortgage loan with an equity boost which allows you to purchase a home with very little money down:
- You put down 1%, your lender contributes 2% to your down payment, giving you 3% equity at closing
- Great low rates
- Close in 30 days or less
- Available with no monthly mortgage insurance
- Great option for first time home buyer loans
Saving up a 1% down payment is easier than it sounds.
Can you skip the fancy coffee for a year? Your morning cafe latte venti can cost over $4, even more if you need a little something to go with it. Think about what you could do with that money if you brewed a cup at home. Bet you never imagined it could wind up being your down payment on a house. And with a loan that requires only 1% down, that latte money could mean the difference between staying in an apartment and getting your own place.
Do I qualify?
As with any loan program, there are qualifications to meet in order to be eligible. There are income requirements, which will vary by county, and a maximum debt-to-income ratio.
- BMC Keystone will help you understand how your debt-to-income ratio is calculated and which sources of income and expenses should be included.
- A minimum FICO score of 700 is required. If you don't have your current credit scores, we can access them for you.
- If your credit is not strong enough to get you the best rates, we can advise you on how to start improving it in order to take advantage of programs like this one.
For more information about 1% down loans and other loan options for Pennsylvania, please contact BMC Home Mortgage in Glenside PA. Take advantage of our no-cost, no-obligations consultation to review your financing plans, your credit history and today’s great rates.