First -time home buyers in Rhode Island looking for 100% financing, it is still available. A first-time home buyer is defined as someone who has not owned real estate within the past three years. Combine this with the $8,000 tax credit, there is no better time to purchase in Rhode Island then now. *To take advantage of the $8,000 tax credit, you must close your new home by December 1, 2009.
For many Rhode Island home buyers, coming up with a down payment for a new home can be challenging. You may be eligible for a no-money down payment or grant offered through a state bonded program if you meet income requirements. The program offers 30-year term mortgages at low interest rates.
Income limits are determined by the household size. 1 or 2 person household must not make more than $87,400. If there are 3 or more in the household, the income cannot exceed $102,000.
Example of interest rates for the 1% point program reflective of 7/09/09:
INCOME RATE APR
| Up to $30,000 | 4.250% | 5.470% |
| $30,001 – 35,000 | 4.500% | 5.620% |
| $35,001 – 40,000 | 4.750% | 5.740% |
| $40,001 – 45,000 | 5.000% | 5.820% |
| $45,000 – Limits | 5.250% | 5.870% |
Purchase price limits are up to $417,000 for a single family or condominium. Existing two to four family homes are also limited to $417,000.
First time home buyers will be required to take a home buyer education class.
Other programs available for bank owned properties.
If you have questions or would like to apply, feel free to contact me at the number below. I would be happy to help.
Lynda Mckenzie
Mortgage Master, Inc.
NMLS#: 137627/RI license#137627
Direct: 401-524-9796
Email: lmckenzie@mortgagemasterinc.com
Web: www.mortgagemasterinc.com/lmckenzie
RI Loan Broker 95000655LBBo1 / RI Lender License 2005 1876LLBo1
