Programs For First Time Home Buyers In Denver

Dated: 03/04/2019

Views: 307

Image titleWith high home prices and inventory on the low side, it may feel like homeownership in Denver is unattainable, especially for first-time buyers. Fortunately, there are several programs that make homeownership a more attainable goal. These national loan programs - which aren’t restricted to first-time home buyers - make it possible to get a mortgage with lower credit scores or a limited down payment. Read on to see if these programs are a fit for you!

  • Conventional Mortgage
    Best for: Low down payment and limited mortgage insurance premiums
    First-time home buyers can get a conventional home loan with as little as 3% down if the mortgage meets requirements set by Fannie Mae and Freddie Mac. And if you put at least 20% down, you won’t have to pay mortgage insurance. Most lenders require a minimum credit score of 620 to qualify for a conventional mortgage, but a score around 740 earns you the best interest rates.

  • FHA Loans
    Best for: Low credit score and low down payment This is the go-to program for many first-time home buyers with lower credit scores. The Federal Housing Administration allows down payments as low as 3.5% for those with credit scores of 580 or higher. The FHA will insure loans for borrowers with scores as low as 500 but requires a 10% down payment for a score that low. Mortgage insurance is required for the life of an FHA loan and cannot be canceled.

  • CHFA Loan (Colorado Housing and Finance Authority)
    Using a network of participating mortgage lenders across the state, the Colorado Housing and Finance Authority offers purchase and refinance loans, as well as down payment and closing cost assistance. CHFA defines a first-time home buyer as anyone who hasn’t owned or co-owned a home in the past three years. Veterans or repeat home buyers in Colorado can get CHFA loans and assistance if they meet certain requirements.

While home prices in the Mile High are cooling a bit and inventory numbers are creeping up, Denver is still an exceptionally popular destination for movers. Now could be the perfect time to examine what programs can turn your dream of homeownership into a reality. Contact Metrowest today – we’d love to help you start the process!

Blog author image

Robert Passafiume

Dedicated father of 2 gorgeous girls with an amazing blended family of 7. An avid outdoorsman that has come to love everything that our beautiful Rocky Mountains have to offer! With a career in Real ....

Latest Blog Posts

Property Values Increase Across Metro Denver

Property valuation notices went out recently and while homeowners likely saw an increase in property value, according to county assessors it will be tamer than the drastic increases we saw in 2017

Read More

Inventory In Denver Increasing Home Prices Holding Steady

According to the latest data from the Denver Metro Association of Realtors (DMAR), the number of homes for sale in the Denver metro area was up significantly in April and the median sold price

Read More

Denver Neighborhoods To Watch

As house hunters in Denver will attest, affordability is a very real issue in established areas like the Highlands or Washington Park. And areas that were once up and coming, such as Baker,,

Read More

Denver Real Estate Market Evening Out But Still Favoring Sellers

Spring is a popular home selling time, and though the Denver market is cooling slightly, buyers should still prepare themselves for the possibility of a bidding war. While the action here is slowing

Read More