Lenders

Best Practices

  • A loan officer should be listening as much as he/she is talking.
  • A loan officer should be willing to communicate with you via your comfort level. I.e. Talk on the phone, via e-mail, or even meet in person.
  • A loan officer should always ask you “what is your comfort level for a monthly payment.”
  • A loan officer should be working for you, independent of any outside influences. I.e. The loan officer works for the best interest of the borrower, not the realtor, title company, referral source, etc.

Mortgage Products

  • FHA loans: 3.5% down allows for 6% seller’s assist has mortgage insurance
  • VA loans: 0% down allows for 4% seller’s assist (may go higher) no mortgage insurance
  • USDA loans: 0% down allows for 6% seller’s assist has mortgage insurance
  • Conventional loans: at least 5% down depending on percentage down, allows for seller’s assist has mortgage insurance if less than 20% down

Special Mortgage Products

  • Home Ready/ Home possible: 3% down conventional loans with discounted mortgage insurance
  • CRA (conventional reinvestment act): 3% down conventional loan with no mortgage insurance

Links

Grants in Montgomery county for homebuyers: https://www.mcpho.org/?page_id=63

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