First time buyers are home buyers who have not owned a home in the last 3 years. When two people are buying together, if one is a first time buyer then many programs allow the purchase to be considered a first time buyer transaction.
Who offers First time buyer programs?
Mortgage brokers like Bookend Lending LLC offer many first time buyer programs through government agencies like NH Housing and programs that are sponsored by Fannie Mae, Freddie Mac, FHA, and USDA. Each has it’s own programs and rules. As a broker, Bookend Lending LLC is tasked with understanding all the different options and then going out there and finding the best pricing among the many lenders we work with.
NH Housing
Within NH Housing, these programs exist:
HomeFirst Conventional Financing which, as of July 2024, has 10 options to choose from
HomeFirst Government Financing which has 5 options
Home Preferred Conventional Financing with 8 options
Home Flex Government Financing with 5 options
Among these programs there are many income and sales price limitations that come into play when the loan officer is helping determine which program is best for the borrower. Income limits for NH Housing programs vary by program and by geography and can range from $80,000 to $167,800. Beyond income limits, in some cases, sales price or loan amount limits also apply.
Conventional
There are half a dozen first time buyer programs for conventional buyers. Generally, the best rates are for buyers whose income is at or below 80% of the area median income (AMI). Some programs offer better terms for buyers at or below 100% of the AMI (area median income) and some have no income limits at all.
FHA (Federal Housing Administration)
These loans do not have income limits but the have maximum loan amounts that more or less limit a home buyer to a sales price in NH to about $515,000 if they’re putting the minimum down.
For Strafford and Rockingham Counties the max FHA loan is $862,500
Note: 2, 3 and 4-family homes have higher sales price limits
Sorting It All Out
The best and easiest way to sort through it all is to let a professional like Renee Duval determine your income based on your most recent paystub and W2s and then she can advise you and provide you with an overview of your options. You want to get the best available terms so start by working with Renee Duval. You can get a quote without giving too much info via this link. Or create an account and provide your basic info at www.applywithRenee.com