First Time Homebuyers

If you are a first time buyer your best resource is to consult with a Loan Officer.  You can find one of HomeStreet Bank’s experienced Loan Officers here.  

Some homebuyers, particularly those making their first home purchase, lack a large down payment.  While traditionally a down payment of 20% or more has been required for conventional financing, today’s market offers several low down payment alternatives.

Below is a quick overview of some of the loan programs available at HomeStreet Bank for borrowers who need to put a minimum down on their new home.  FHA and VA loans are becoming increasingly popular due to recent changes in loan limits and underwriting criteria.  Be sure to ask your HomeStreet Loan Officer for details.

FHA Loans – FHA loans are once again becoming a good choice for first time borrowers.  In many cases they allow for a 3.5% down payment, which can come from a variety of sources, including gifted funds.  They have competitive interest rates and fees with easier qualification standards than many conventional loans

VA Loans – Available only to qualified military veterans, Veteran Administration (VA) loans allow for 100% financing.

Conventional Loans with mortgage insurance – Conventional first mortgage loans greater than 80% of the property value (20% down payment) require private mortgage insurance.  Mortgage insurance can now be obtained on loan amounts up to 97% of the home’s sale price or appraised value.

Recent legislative changes have increased FHA and conventional (Fannie Mae and Freddie Mac) loan limits.  You can learn more about these changes here.

Be sure to speak with a HomeStreet Loan Officer to help you determine which program is right for you!