If your down payment isn’t
significant, then it will be slim pickings when it comes
time to compare the types of loans you qualify for, such
as fixed rate versus adjustable rate mortgages, VA
loans, and FHA home loans.
You also have to know your
down payment potential prior to buying a home because it
will be included in the written offer to purchase the
home. Sometimes, you may be asking the seller to
pay your closing costs, and different loans have
different guidelines regarding down payments and
seller-paid closing costs.
A down payment is important –
not only in helping you determine how much home you
qualify for, but in helping you successfully negotiate
with potential lenders about the type of loan you
receive and the perks that come with
it.
