San Diego first time home buyer down payment assistance may not come in the form you think it will. After you have decided on a mortgage broker, you have to realize that this first time San Diego homebuyer program covers the second loan, third loan, and sometimes fourth loan. Down payment assistance does not cover the first loan. The first loan, the biggest loan, referred to as the primary loan, is not given or overseen by the San Diego Housing Commission like the other loans. That loan will be a tough one to get at a good rate depending on your situation. This primary loan has nothing to do with the San Diego Housing Commission other than they want to know that you have a been approved for a loan with an amount high enough for them to add their funds to pay for your new home. Their down payment assistance will cover the gap between the highest amount of your primary loan and what dollar amount you need to purchase the home.
Down payment assistance is not just one loan.
Being self-employed it was very hard for me to get a good rate on that loan. Even with a very high credit score of 760, the lowest mortgage I could get at the time was a 6.75%. I was eventually able to get that lowered to a 4.62% through refinancing. The down payment assistance rates stay locked at the deferred payment rate of 3% for the life of the loans.
Get that credit score as high as you can. Of course you have already been through Linton’s “know how credit works” class and he has got you well above 700 right? If not call me right now at (619) 886.1826 and I’ll get you in touch with him.
Please try the best you can to get your credit score as high as possible, which will get you not only the approval to work with the San Diego housing commission, but will get that future interest rate as low as possible. This means the saving tens of thousands of dollars off the cost of your loan.