Programs And Grants For First-Time Home Buyer In The Big Apple

Regardless of location, first-time homebuyers who want to buy a home in New York state have lots of help readily available.

In April 2021 the median home price in New York state was $370,000. But different locations have a vast range within the Empire State.

If you’re a first-time homebuyer with a 20% down payment, you can get a conventional loan with a low interest rate. 

And can avoid paying the private mortgage insurance (PMI). But if you haven’t saved enough their are many mortgage programs with low down payments.

• Conventional 97 – is a program by Freddie Mac or Fannie Mae. With a requirement of a 3% down payment and a minimum credit score of 620.
• FHA Loans – Is backed by the Federal Housing Administration. Requiring down of 3.5% and a minimum credit score of 580. But you need to pay the mortgage insurance until you refinance to a different type of mortgage, move home, or pay off your loan
• VA loan – This program is available only for veterans and service members. No down payment is required. Though the minimum credit score varies according to the lender it is often 620. No requirement for mortgage insurance. If you’re eligible these are arguably the best mortgages available.
• USDA loan – People with low-to-moderate incomes can buy homes in designated rural areas. No down payment is required. Credit score requirements may vary but often 640. Mortgage insurance rates are low.
• SONYMA mortgages – low-cost loans and the possibility of down payment assistance to qualified borrowers are offered by The State of New York Mortgage Agency.