Who is a first time home buyer? You might be surprised to learn that there is more than one answer to this question. Of course someone who has never owned a home before is considered a first time home buyer but, unknown to many, other people not fitting that description might also be considered first time home buyers. Here are others who count as first time home buyers:
- An individual who has not owned a home for at least three years is also considered a first time home buyer.
- First time home buyers can also be displaced homemakers or single parents who have only owned a home with a former spouse.
- If you owned a home that was not permanently affixed to a foundation, such as a mobile home, you could be considered a first time home buyer.
The U.S. government wants low- and moderate-income families or individuals be able to own homes. At the same time the government and mortgage lenders recognize that purchasing a home is quite costly and offer first time home buyer incentives to help people become homeowners who might not otherwise be able to.
First time home buyer loans are available through Minnesota Housing, which offers three down payment and closing cost loan options referred to as “Start Up,” “Step Up,” and the “Mortgage Credit Certificate.” All of these affordable loans are meant to help finance the buying and/or repair of homes so people with limited incomes or savings can obtain affordable housing.
If you fit any of the first time home buyer descriptions above call Lake Area Mortgage, a Division of Lake Area Bank at 651-209-2900 and discuss your situation and needs with an experienced team member who can help you navigate the various loan programs available to you. We will work with you plan a course of action and give you the advice you need to help you get financial assistance buying your first home in Minnesota.