If you're a first time homebuyer about to enter the Sparks real estate market you may have received information from friends and family that isn't accurate. In fact, there are many common misconceptions that buyers have when purchasing their first home and one of those has to do with mortgages.
Recent studies show that almost half of all Americans are under the assumption that you need at least a 15% down payment in order to purchase a home, but Sparks Nevada real estate agents want you to know that this simply isn't true. First, the amount of down payment that is required of you depends on the type of home loan you get. If you qualify for a VA loan, there is no down payment and an FHA loan only requires 3.5% down. If you get a conventional loan it is possible to qualify for a mortgage with only 5% down. It all depends on your credit history and score as well as the investor on your loan. Sparks Nevada real estate agents say that it is possible for down payments to get lowered to as little as 3% in the near future.
If you were concerned about saving up enough money for a down payment to purchase a home from the Sparks Nevada real estate market, there's some relief in the fact that you don't need as much as you may have originally thought. By working with an experienced Sparks Nevada real estate agent you can determine what type of loan you qualify for, how much of a loan you qualify for as well as what that investor's down payment guidelines are. This can give you a ballpark estimate of how much money you may need to save to purchase your first home from the Sparks Nevada real estate market.