Here at Guild Mortgage, we want to do everything we can to help as many people as possible buy homes of their own. We’re launching a nationwide conventional loan program that requires just a 1 percent down payment from you. Here are all the details of our new home loan program.
Did you know that Guild Mortgage is one of the largest independent mortgage bankers in the U.S.? As our CEO and president Mary Ann McGarry put it, “We were able to create this breakthrough program [the new 1 percent down program] because we are a direct lender with many decades of strong investor relationships and first-time home buyer expertise.”
The Problem We’re Solving
As millennials enter the housing market faster than ever, we want to make home buying easier for more people. Millennials and others with low-to-moderate incomes can have a hard time saving enough money for a down payment because of student loans, high rent costs, and other factors.
Our new conventional loan program gives buyers 3 percent equity in their new home with just a 1 percent down payment. This gives home buyers who are having a hard time coming up with a down payment a new option for getting a home of their own.
Here’s how our new program works.
How the Program Works
With this new program, the buyer puts 1 percent down. Guild will contribute 2 percent of the purchase price in the form of a grant. This grant doesn’t ever have to be repaid. This means that you’ll have 3 percent equity in your home from the get-go.
Qualifying for the Program
There are a few qualifications you must meet to use this down payment assistance program. These include:
- Minimum FICO credit score of 680
- Income limit of 100% of the area’s median income (no income limits in low-income census tracts)
- Completion of a home buyer education course
An important note: You don’t have to be a first-time home buyer to take advantage of this down payment assistance program.
- Standard conventional loan
- Down payment assistance grant of 2% that doesn’t need to be repaid
- Loan amounts up to $424,100 (higher in Alaska and Hawaii)
- Reduced, cancellable mortgage insurance
- Flexible underwriting (you can include income from non-borrower household members, as well as income from boarders and renters)
- Debt-to-income ratios up to 50%
Ready to Find Out if You Qualify?
If you’re looking to buy a home of your own but are struggling to save up enough of a down payment, give us a call at (503) 528-9800. Let’s see if our new down payment assistance program can make the difference and get you into a new home now.
Thank you for the lovely complete information that will be helpful to so many! Hope you are doing well!!
Thanks for your comment, Tom!
Good info. Easy to understand and pass on to Buyers. Thank you.
All loans are subject to underwriter final approval, loan limit restrictions based upon subject property state, terms and conditions may apply. Subject to change without notice. Always consult an Accountant or Tax Advisor for full eligibility requirements on tax deductions. Eligibility for this non-repayable grant is subject to the Program guidelines. Changes to loan parameters including but not limited to loan amount, owner-occupancy status, loan to value, and other factors may render Borrower ineligible for the Program. The grant may only be used for the borrower’s cash investment in accordance with the Program guidelines.