August 31, 2017 | Bob Myers
According to Black Knight Financial Service’s  Mortgage MonitorReport, 1.5 million Americans have purchased a home with  down payments under than 10% over the last 12 months. This is great news  for buyers as this marks a 7-year high.
Many mortgage programs offered by agencies like Freddie Mac  and Fannie Mae  allow buyers to put down as low as 3% to purchase their dream homes. The strength of the housing market has aided buyers who used low-down-payment programs to buy.  As a recent CNBC  article points out,
“Defaults on recent low down payment loans, so far, are slow, but  that is as much a factor of the good credit quality as it is the  strength of the housing market. Home prices are rising incredibly fast,  meaning those borrowers are gaining equity in their homes quickly.”
Low down payments aren’t just great for first-time homebuyers. These programs have allowed homeowners who want to capitalize on the  equity they have in their homes to use the profit from their sale to pay  off high-interest credit cards, fund education or even start a  business.

According to a new Census Report, the Annual Survey of Entrepreneurs , home equity was used to start 7.3% of all businesses in the  United States, which equates to over 284,000! The industries that saw  the most growth from home equity are accommodation & food services, manufacturing and retail trade.

Bottom Line

Gone are the days of ‘20% down or no mortgage.’  What could you build  with the equity in your house?  Meet with me to evaluate your ability to achieve your dreams today!

Please consider The Myers Team your resource for all things real estate.  We have over 30 years of real estate experience, specializing in the Montgomery County area. If you are refinancing, want a recommendation, need a service provider or just have a home related question, please  give me a call at 301-910-9910 or email me at bobmyersteam@gmail.com.
Share

check_circle

You message has been sent!

Send us a Message


View our Privacy Policy