Funding & Financials

Is Home Ownership Possible Without a 20% Down Payment?

It used to be that you could easily purchase a home with just a 10% down payment. During the housing boom (before the burst) you could sometimes get a home with as little as 5% or even 0% down. These days, though, it's much more common to see people putting 20% down on Indianapolis homes. The trend is largely due to the recent housing crisis and lenders having a bit less faith in the people who are borrowing. As a result, it's harder for many Hoosiers and people across the nation to purchase the homes that they want and feel that they can afford. Leading up to the housing crisis, banks were being somewhat irresponsible and giving loans to people who couldn't actually afford them. Because of these past mistakes, lenders are now being much more stringent about who they offer loans to. Having 20% down on the home you would like to buy is a solid indicator that you are ready to make the purchase, and banks like to see that. For some people, however, getting together 20% takes a great deal of time. If you're looking to get into a new home within the next few months but have less than 20% to put down, talk to an experienced Indianapolis real estate agent, like the team members at RE/MAX Advanced Realty, to learn about your options.

Exploring Alternatives to the 20% Down Payment

Options your realtor may discuss with you include alternatives to traditional home loans like VA loans and government mortgage assistance programs. For example, if...

Indianapolis Housing Report for 2012 - Q2

Central Indiana's real estate market for the nine-county area countinued upward from April thru June 2012 approximately 15% from the same time frame as last year.  This is good news for the Indianapolis Real Estate Market.  Check out the RE/MAX of Indiana press release for information.

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FHA will keep funding Rehabbed Properties!

FHA has announced that they are extending the anti-flipping rule thru 2012 for investors who purchase properties and rehab them and put them immediately back on the market for sale.  FHA has a standard 90 day rule to prevent investor flips but FHA has extended this time period.  Any sales increases of over 20% must be proven and approved.  Most times two appraisals will be required.

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