Buying a first home in Pennsylvania can feel overwhelming, especially with median home prices in 2024 reaching around $585,959. Thankfully, programs like those from the Pennsylvania Housing Finance Agency (PHFA) provide affordable financing. Loan Factory guides first-time home buyers in Pennsylvania, helping you secure great rates and providing support with down payments and closing costs. Let's discover First Time Home Buyer Loan Options in Pennsylvania:
PHFA oversees several 30-year fixed-rate mortgage programs that cater to different needs and financial situations. These programs include conventional, FHA, VA, and USDA loans, each with its own set of eligibility requirements and benefits.
HFA Preferred (Lo MI)
The HFA Preferred (Lo MI) loan is ideal for first time home buyers in Pennsylvania seeking private mortgage insurance (PMI) assistance. This program helps reduce the cost of PMI, which is typically required when making a down payment of less than 20%.
Requirements:
- Must meet credit and eligibility criteria set by the lender.
- Complete a homebuyer education course.
- Meet MassHousing income limits.
- Contribute at least $1,000 towards the down payment.
- Single- to four-family home or condominium.
- Must be your primary residence.
Keystone Home Loan
The Keystone Home Loan program serves first-time homebuyers, veterans, and buyers in targeted Pennsylvania counties. It offers competitive rates and flexible terms to help you secure your first home.
Requirements:
- Must meet household income and purchase price limits.
- Must meet PHFA’s property guidelines and be your primary residence.
Keystone Government Loan (K-Gov)
The K-Gov program connects homebuyers to FHA, VA, or USDA loans, providing flexibility based on your eligibility and financial situation.
Requirements:
- Varies based on the type of loan (FHA, VA, USDA).
- It may require the completion of a homebuyer education course for lower credit scores (< 680).
Keystone Flex Loan
The Keystone Flex Loan provides two pathways to support first time home buyers in Pennsylvania:
1. Keystone Flex with K-FIT Loan:
- Provides up to 5% of the home’s purchase price or appraised value as a down payment and closing cost assistance.
- The second mortgage is forgivable after 10 years.
2. Keystone Flex Purchase and Improvement Loan:
- Combines home purchase and renovation costs into one mortgage.
- Borrow up to $30,000 for eligible home improvements.
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Ready to take the first step toward homeownership in Pennsylvania?
Buying your first home can be exciting and overwhelming. Loan Factory is here to simplify the process and help you achieve your homeownership goals in Pennsylvania. We offer:
- Low interest rates to save you money
- A variety of loan programs to your needs
- Expert advice and support throughout the process
- Get started quickly and easily with our AI-powered application
Thousands of satisfied homeowners trust Loan Factory. Contact Loan Factory today and let's find the perfect loan for you: (714) 444-9999 or www.LoanFactory.com
For more expert insights on mortgages and down payment assistance, check out Loan Factory’s Blog today!
