First Time Home Buyer Programs Minnesota

first_time_home_buyer_programs_minnesotaFirst time home buyer programs Minnesota offer people some very good deals. One program in particular is known as the Minnesota Housing Mortgage Credit Certificate, or “MCC” program.

MCC is one of the best first time home buyer programs Minnesota because it allows first time home buyers to claim 35% of their mortgage interest as a federal income tax credit each year. Many people take advantage of this program because it can reduce their federal income tax liability and save them up to $2,000 per year. The MCC program also involves low-interest mortgage options and access to loans for help with making a down payment and/or closing costs. The goal of MCC is to help Minnesotans afford housing.

In addition, MCC is one of the popular first time home buyer programs Minnesota because of several worthwhile options. For instance, MCC offers a conventional product with no mortgage insurance, using only a 3% down payment. Or, for those who are looking for lower private mortgage insurance rates for conventional-insured loans, MCC can connect you with those, again at only 3% for the down payment. Meanwhile, MCC includes a FHA 203 (k) streamlined purchase/repair product option, in case you’re the type of person who likes “fixer-uppers” and doesn’t mind owning a first house that needs some work done to make it livable.

Are you wondering if you’re eligible for the benefits of the MCC program? Your income has to be at or below certain limits, and the home you’re looking to purchase has to be under the $298,125 acquisition cost limit for the Twin Cities’ 11-county metro area. Please consult your tax adviser with additional questions

Designed to help people with the biggest purchase of their lives, first time home buyer programs Minnesota help financially jumpstart the purchase process. To find out what options are available to you, specifically, please call Lake Area Mortgage at 651-209-2900 or email infoLAM@lakeareamtg.com.

Minnesota Housing Authority

minnesota_housing_authorityThe Minnesota Housing Authority is set up to help Minnesotans obtain safe, decent and affordable housing. Investing hundreds of millions of dollars to preserve federally-subsidized rental housing as well as promote home ownership, the Minnesota Housing Authority ideally wants to prevent and end homelessness in the state. Is it a lofty goal? Yes. But with the right attitude, funding, and promotion, the Minnesota Housing Authority works everyday toward making that goal a reality.

When someone is looking to buy a house in Minnesota, the Minnesota Housing Authority is a great resource, connecting people with information about mortgage loans, home improvement assistance, finding lenders, and preventing foreclosure. Additionally, the Minnesota Housing Authority is always on the lookout for the lowest interest rates so you can benefit!

While most people ideally want to own their own home, some, for various reasons, need rental assistance. Minnesota Housing Authority provides that, helping people look for affordable rental housing/shelter.

The Minnesota Housing Authority is a connector of agencies and people—a middleman of sorts. Connected with homeownership lenders, home improvement partners, and real estate agents, the Minnesota Housing Authority works hard to bring affordable services and financing options to people looking for a good place to live.

One of the latest options the Minnesota Housing Authority offers includes loan amounts up to $50,000! Also available are unsecured loans to help homeowners who need money to pay toward their mortgage bills. With amounts up to $15,000 and no equity needed, these loans might be just what you’ve been looking for/needing to be able to keep living where you live, avoiding the disruption of having to move.

Besides helping first-time home buyers, the Minnesota Housing Authority also helps others refinance through the “Step Up” program.

There really are many wonderful options available to people looking for affordable housing in Minnesota. Connecting with the Minnesota Housing Authority can help you discover options you never knew existed.

Minnesota Housing

minnesota_housingWhile people live all over the great, big state of Minnesota, the biggest metro area is Minneapolis-St. Paul, Minnesota, housing some 3.7 million people. It is the second largest economic center in the Midwest, behind Chicago.

The American economy has had some challenging years, to say the least, and according to the Minnesota Housing Partnership, nearly a quarter million Minnesotan households pay over 50% of their income on housing. Ideally, people should be paying about 30%– not over 50%.
Minnesota, in general, has a tight housing market—there just aren’t that many vacant apartments, for instance, in the Twin Cities metro area.

Keep in mind that Minnesota has a diverse enough economy that it isn’t in as bad a shape as many other states. Therefore, there’s more of a demand for Minnesota housing because the state has two things others want: jobs and population growth.

One of the major reasons Minnesota housing is lacking in space for people is that building permits issued for multi-unit and single-family homes hit extreme lows in the past couple years. In other words, the population grew, but the housing stock did not keep pace. And, like many other cities, developers tended to chase the well-heeled crowd, constructing expensive, luxury apartments, condos and homes, such that affordable places to live became harder and harder to find.

Thankfully, though, there is encouraging financial help available for low income residents of the state. For instance, did you know eligible Minnesota Housing borrowers have access to three down payment and closing cost loan options? In other words, there is help “out there” to help people achieve their goal of successful home ownership. In some cases, money is loaned to help home buyers rehab properties that need some repairs—a good way to improve the housing stock affordably.
A quick call to Lake Area Mortgage at 651-209-2900 can connect you with a wealth of information regarding affordable Minnesota housing opportunities available at this time.

First Time Home Minnesota

first_time_home_minnesotaSo you’re looking at buying your first time home Minnesota? If you’ve been paying monthly rent for a while, you know that you don’t get that money back. However, buy a house and you can deduct the cost of your mortgage loan interest from your federal income taxes. Not bad, huh?

When buying a first time home Minnesota, look for an area to live where you think you’d feel safe and comfortable. It should be in a place that’s near to the things you love, such as a particular church, library, shopping center, or friends/relatives. Keep in mind the distance between the potential house and your job—will it be no commute (working at home), a quick commute (10-15 minutes by car or bus), or a long commute (over an hour) to get to and from work? That’s one of the major decisions you have to make when considering your first time home Minnesota. If you’re the kind of person who doesn’t mind a “fixer-upper,” you can probably find a very affordable first time home and remodel it to your liking.

A home can be considered an investment, as it may appreciate in value in the coming years. For example, you might buy your first time home for $100,000 and ten years later it’s worth $150,000. There are usually some good deals on first time homes in Minnesota, so be on the lookout, in particular, for “HUD homes.” The lender (usually a bank) has foreclosed on a HUD home because the person who purchased it couldn’t make the payments, so the lender then owns it and wants to sell it at market value quickly.

As a first time home Minnesota, you may be eligible for some good deals because of the fact that you are a first time home buyer. To find out about Minnesota down payment assistance for your new home, contact Lake Area Mortgage at 651-209-2900.

Minnesota Housing Assistance

Minnesota has taken on the ambitious goal of preventing and ending homelessness in the state. Thanks to $2 million being allocated toward rental assistance for homeless and “highly mobile” families, there’s hope for some, if not all, people looking for MN housing to find a place to live and not have to live on the streets or in their vehicles.

The goals of the state program are to find MN housing for veterans and people experiencing chronic homelessness by 2015, and to find MN housing for families with children and unaccompanied youth by 2020. A lofty goal—sure—but it can be done.

Did you know about a quarter million Minnesotans pay more than HALF their income for MN housing? It’s no wonder that on any given night, 10,000 Minnesotans are homeless. The government recognizes that people need decent places to live if they’re to do well in school, hold stable jobs in the workforce, and help build a stronger Minnesota. To that end, the powers-that-be are focused on giving all Minnesotans resources to have a place to live—to call home—that’s not a cardboard box on the sidewalks of Minneapolis or a park bench in Duluth.

Recently, the Minnesota Legislature approved funding of the Rental Assistance for Highly Mobile Students Initiative, providing MN housing assistance for up to two years to help families with school-aged kids who move often. The idea is to encourage the parents to stay put so their kids can attend the same school without interruption through the school year. Stability and staying in one place help ensure kids get a proper education, rather than missing days or weeks of classes and/or having to constantly re-adjust to new schools and social situations.

Compared to other states, Minnesota is more invested in seeing its citizens succeed in life. By offering MN housing assistance to those who are struggling, the government and various agencies are making a coordinated effort to see that all Minnesotans have appropriate housing.

Get MHFA Help

mhfaThe Minnesota Housing Finance Agency (MHFA) invests millions of dollars into financing affordable housing for low and moderate-income Minnesotans. In other words, MHFA helps people of limited means get proper housing.

MHFA does several things each year to foster stronger communities. The goal is to promote and support successful home ownership, while preventing (and ending) homelessness. The agency preserves federally-subsidized rental housing and steps in to help prevent foreclosures. The overall aim of MHFA is to make Minnesota the kind of state where people live in safe, decent and affordable housing—in relatively stable and strong communities.

Perhaps you wanted to be a pioneer in a neighborhood where the housing stock needs some improvement. MHFA offers products and services to help you buy and fix up homes that need a lot of work done. The idea is that it’s better to have a home cleaned up and in good condition, with occupants who care to be there, than to let a building rot with no one paying attention to it.

MHFA has been helping Minnesotans for more than 40 years, and has a great reputation as one of the nation’s finest housing finance agencies. It’s worth investigating their products and services to see if they could be of help to you and your situation.

Minnesota First Time Home Buyer Education Resources

If you’ve never bought a house before, Minnesota is the rare state that actually works toward educating first time home buyers so that they can answer the following two important questions.

  1. What is your actual financial situation?
  2. Do you have the income/money needed to truly afford that home which you think you’d like?

first_time_home_buyer_help_minnesotaMinnesota helps first time home buyers answer those questions and others through the “Home Stretch” workshops offered throughout the state. Designed to help people understand the process of buying a home, from start-to-finish, Home Stretch is a helpful workshop that lasts anywhere from 8 hours to 2-3 days, with a “certificate of completion” given at the end.

The Home Stretch workshop helps people understand how credit works, and how credit affects the costs of home ownership. In addition, the workshop helps you decide what type of mortgage is best for you, as well as understand the loan closing process.

What type of home is the right fit for you and your situation? Are there special programs available for first time home buyers? These questions, and others, are answered in the Home Stretch workshop. Objective, practical information for first time home buyers in Minnesota is available—take full advantage of the Home Stretch workshop.

First Time Home Buyer Programs and Counseling

first_time_home_buyerAre you a first time home buyer in Minnesota? If your answer is “yes” there are some things you should be doing to prepare for the purchase of your first home. Minnesota offers in-person or online homebuyer education programs to help you learn about the process of buying a home and make smart decisions. These are valuable resources that save people a lot of headaches.

The in-person workshops are called “Home Stretch,” and feature a classroom learning environment, where an experienced teacher shares with you and others important knowledge. It’s a chance to hear from mortgage lenders, real estate agents and/or home inspectors about what they do and what it’s like to connect with them in order to complete the first time home buyer process in Minnesota. The “Home Stretch” program has been going strong for more than two decades, helping over 100,000 Minnesotans navigate the home buying process.

For those who prefer to learn online, on your own schedule, and in the comfort of your pajamas, Minnesota offers “Framework,” to guide you through home buying topics in a high-quality, interactive way. Already thoroughly tested by first time home buyers, “Framework” works, and works well. It meets the National Industry Standards and all the requirements of the HUD Housing Counseling program, so you are guaranteed quality content from an independent source. In addition, many lenders have approved “Framework” to meet their requirements for homebuyer education.
Minnesota is fortunate to have programs like “Home Stretch” and “Framework” to help guide first time home buyers.

Besides getting a good education about the ins-and-outs of buying a home, get your credit score/report to be the best it can be—mortgage lenders care about that information, as it affects the rate you’ll pay and whether or not they’ll choose to work with you. Your credit report should be checked for errors, such as accounts that aren’t yours or late payments that were actually paid on time. Furthermore, if you can get in the habit of paying your bills “on time” as well as paying down the balance(s) on your credit card(s), your credit score can improve in as little as two months.

It’s a good idea to establish a working relationship with a local real estate agent who can help you find the “right” house to buy in a neighborhood you’d feel comfortable in. The agent can also help you with the piles of paperwork involved in the home buying process.
Finally, realize that Minnesotans who may need some financial assistance to buy a home have options, including a monthly payment loan or a deferred payment loan, with details here: http://www.mndownpaymentassistance.com/down-payment-assistance/.

Minnesota Housing Finance Agency

MN Housing Finance Agency

The Minnesota Housing Finance Agency plans to invest almost $800 million this year to help low and moderate-income Minnesotans afford housing. The agency has key priorities, which include preserving federally-subsidized rental housing, addressing critical needs in rental housing markets, preventing homelessness and foreclosures, and promoting home ownership.

Affordable housing in Minnesota is available to first time home buyers and others. Minnesota Housing is involved in financing and long term asset management regarding rental housing in the state. Building stronger communities, Minnesota Housing also works to help people buy and fix up their homes. For more than 40 years, Minnesota Housing has helped people find, buy/rent, and maintain affordable housing, and shows no signs of slowing down in 2014.

When someone plans to buy a house in Minnesota, they often need some form of financial assistance to make it happen. That’s where Minnesota Housing Finance Agency and others, such as Lake Area Mortgage, a Division of Lake Area Bank, come in.

Minnesota Housing Finance Agency offers several housing loan products to help with the associated costs of buying and improving a home, and Lake Area Mortgage is a team of experienced people who help Minnesotans figure out how they can benefit from a myriad of options when it comes to mortgage loans available through the agency.

Most people do not pay cash-in-full for their house. Most people take out a mortgage and/or get some financial assistance because purchasing a home is one of life’s biggest purchases.

The Mortgage Division Team at Lake Area Mortgage, a Division of Lake Area Bank can help you with your housing wants and needs; call 651-209-2900 to speak to someone who can get you started on financing your new place to live

First Time Home Buyer Incentives

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:

  1. An individual who has not owned a home for at least three years is also considered a first time home buyer.
  2. First time home buyers can also be displaced homemakers or single parents who have only owned a home with a former spouse.
  3. 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.