First thing`s first:  When you are looking to purchase a home, one of the first things that you should do is decide on a lender and get pre-approved.  A pre-approval letter can go a long way towards strengthening your initial offer.  A lender will check a number of things to get you pre-approved, including: credit status, financial situation, qualifications based on income, and the possibility of a downpayment.  With that information, the lender can give you a good estimate on how much you can afford to spend on a home.  Be careful, though.  Some lenders will pre-approve you for a lot more than you can afford to spend.

A second thing to consider is what type of loan(s) you want to apply for.  There are many different types of loans out there.  In most cases, I recommend home loans with a fixed interest rate (typically with a 30-year payment plan).  Below are some of the more common types of loans for Utah:

Utah Housing Loans
"The Utah Housing Corporation has been uniquely created as a public corporation by the State of Utah government to raise funding to assist in the creation of affordable housing opportunities for lower-income Utah households across our state. UHC is the most significant financial institution in the state providing resources for affordable housing. Principally, UHC provides mortgage monies to qualifying first time homebuyers as well as resources to developers building or renovating affordable apartment projects. In addition, UHC assumes several roles ranging from financier to developer in creating some of the more difficult to develop housing niches."

These loans are a great option for anyone that is looking to get into a home but has little or no money to put towards a downpayment.  They also offer a terrific interest rate that is typically significantly lower than that of conventional loans.  Utah Housing loans offer up to 103 percent financing to cover the entire purchase price plus closing costs.

Follow the link above to visit the Utah Housing Corporation home page and to see the current interest rate they offer on home loans.

FHA Loans
"FHA loans have been helping people become homeowners since 1934. How do we do it? The Federal Housing Administration (FHA) – which is part of HUD – insures the loan, so your lender can offer you a better deal."

More and more buyers are utilizing the FHA loans insured by the government, largely because of the low interest rates that they offer.  The rates rival those of the Utah Housing loans.  Additionally, most of the closing costs and fees can be included in your loan.  There are also programs set up to assist buyers with their downpayments.  Contact me for more information about these programs.

Follow the link above for more information about the features and benefits of FHA loans.

Conventional & Jumbo Loans