FIRST-TIME HOME BUYER NEW JERSEY

Purchase:

• 3.5% down payment with 580 credit score
• 3% down payment with 620 credit score
• 10% down payment with credit score 500-579
• Down payment assistance available
• Seller concession allowed
• 620 credit score required for down payment assistance

Property Type:

• Single Family
• 2-4 Units
• Condo
• Townhouse
• Manufactured homes
• Mobile homes

What is a First-Time Home Buyer New Jersey?

You are considered a first-time home buyer New Jersey if you have not owned a home within 3 years (36 months). If you have not owned a home within 3 years, you will qualify for a  3% down payment. On the other hand, if you have owned a home within 3 years (36 months), you will only qualify for a 5% down payment.

Working with a real estate broker is an excellent idea. The details involved in home buying can be overwhelming. A good real estate professional can help guide you through the entire process and make the experience easier.

What Types of First-Time Home Buyer New Jersey Programs are Available?

FHA

Federal Housing Administration (FHA) has been helping people become homeowners since 1934. So, a perfect credit score is not needed for an FHA loan approval. FHA down payment assistance program covers the entire down payment of 3.5%. You can combine with seller concession so no out of pocket funds will be needed at closing. 580 credit score required for 3.5% down payment.

Conventional 1% Down Program

Income-qualified borrowers, who meet the Area Median Income (AMI) at or below 80%, may be able to move in with only 1% down payment. When you put 1% down, the additional 2% will be provided toward the down payment, up to $4,000, for a total of 3%. 620 cr3edit score is required.

Good Neighbor Next Door

This loan type is for pre-K – 12 teachers, emergency medical technicians, firefighters or law enforcement officers. This loan is sponsored by the Department of Housing and Urban Development (HUD). The Good Neighbor Next Door program offers a generous 50% off select HUD properties. 580 credit score required.

HomeReady Loan

This loan type is a conventional loan program created by Fannie Mae. It’s affordable given the smaller 3% to 5% down payment requirement. HomeReady mortgages are designed for low to moderate-income home buyers and are well-suited for first-time home buyers. 620 credit score required.

Home Possible Loan

Freddie Mac HomePossible mortgages offer more options and credit flexibilities than ever before to help very low-to low-income borrowers attain the dream of owning a home. In addition to its down payment requirement of as little as 3%, Home Possible now offers more options to responsibly increase homeownership for more of your borrowers. Co-borrowers who do not live in the home can be included for a borrower’s one-unit residence, borrowers are permitted to have another financed property, and more –all with competitive pricing and the ease of a conventional mortgage. 620 credit score required.