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Home Buyer No Money Down Options, First Time, Anytime Buyer

April 3rd, 2009 Listed Under: Buy a Home, Mortgage Loans

Charlotte NC | Not the Junk Kind, Real Ways to Buy a Home with Zero Down

5 Ways First Time Home Buyers can still purchase a home with no money down in Charlotte!

Many risky loan programs are gone, and that is a good thing.  First time homebuyers need loans they can afford to keep, but even though many zero down programs are gone you can still buy a house without a down payment!  There are several programs that allow you to buy a home with little to no money down, and below I have provided a list that shows the pro’s and con’s of each program.

#1.  VA Home Loans

This is my favorite because it helps veterans who have served our country and it is an AWESOME loan product.  VA loans offer qualified veterans loans up to $417,000 with no money down and no mortgage insurance.  Rates are ranging between 5% to 5.5% for 30 year fixed rates.  The only “con” for VA loans is that you are required to pay an upfront funding fee of 2.15% for first time use.  The good news is that you can finance the fee into the loan and if you have a veteran related disability you might be exempt!

#2.  USDA Rural Housing Loans

These loans would be my favorite except for the biggest drawback… it is location specific.  You have to buy a house is an area that USDA considers “Rural”, but you may be surprised by how many area around Charlotte they consider “Rural”!  You can check out their website by CLICKING HERE.  USDA loans offer zero down payment and no mortgage insurance.  You are required to pay a 2% funding fee similar to VA, but it can be financed.  Rates are in the 5’s and it is a 30 year fixed loan.  There are income limits associated with this loan, and you need to speak with a qualified loan officer to ensure you are eligible.

#3.  House Charlotte Program

This a local government program that offers help to low-moderate income families.  This program works in conjunction with FHA, and provides secondary financing to cover your down payment and closing costs.  The program typically covers up to $7500 and acts as a 2nd mortgage.  The good news is that you don’t have to make payments and if you live in the home for 10 years the loan is completely forgiven!  The FHA financing terms are not effected by House Charlotte.

#4.  HUD Foreclosures

HUD approved lenders (such as myself) are permitted to offer FHA financing with only $100 down on certain HUD foreclosed properties.  These properties might not be in the bast condition, but surprisingly many are in good shape.  Your Realtor can help you determine is this is a fitting choice for you.

#5. FHA-

It requires 3.5% down Payment,  but this money can be given to you by a family relative.  The venerable FHA loan is alive and well.  Technically not no money down, so I’ll give you a bonus below

If you would like more information about buying a home in Charlotte with no money down, please contact Olan Carder at 980-721-7478.  Olan has been in the mortgage industry for over 10 years in the Charlotte area, and has built a reputation for helping homebuyers other lenders can’t!

BONUS#6.  If you are a teacher, a fireman, policeman or work for the state of North Carolina,

join the State Employees Credit Union, NCSECU  still has Zero Down, and Zero PMI loans available for qualified member-borrowers.

Knowledge is power and a great strength in any negotiation.  This is what I bring to bear in negotiations for our clients. Skilled Buyer Agents make great deals happen.

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Terry McDonald
I'm the owner/team leader of The McDonald Group at Wilkinson and Associates ERA Powered real estate brokers here in Charlotte NC. A transplanted Washinghtonian, my family and I came from the NYC area in 1993.
Terry McDonald
Terry McDonald

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The McDonald Group
Wilkinson and Associates ERA Powered
8604 Cliff Cameron Dr ST 110
Charlotte NC 28269
704-390-6221 Cell
704-393-0048 Office
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Terry McDonald [email protected]   704-351-1519

Bobby McDonald [email protected] 704-351-1519