This explains the different down payment options and closing costs for various loan types:
Let’s add the down payment and closing costs to see the minimum amount of cash you’ll need upfront:
6% of the purchase price (since there’s no minimum down payment).
At least 8% of the purchase price (3% down payment + 5% closing costs).
Minimum of 9.5% of the purchase price (3.5% down payment + 6% closing costs).
This program is for FHA, VA and USDA loans only. Minimum credit score requirements apply. Credits cannot be given as cash. This program is not a Florida State Sponsored Closing Cost Assistance Program. Offer subject to borrower qualifying for the loan, and final underwriting approval.
We understand the specific needs of veterans and strive to provide exceptional service throughout the homebuying process.
We can help disabled veterans explore financing options that consider their unique circumstances, such as using their disability income to qualify and using their disability to waive their VA funding fee.
This is not a Florida State Sponsored Closing Cost Assistance Program. This promotion is for primary residences only. It was originally created for first-time homebuyers, but now being a first-time homebuyer is not a requirement.
Real Estate buyers who purchase a home with Bluecastle Realty, finance with Bluecastle Lending, and close with Bluecastle Title are eligible for this promotion. The program only applies to FHA, VA, and USDA loans. It is subject to credit and underwriting approval.
We won’t know if you qualify until we submit the file and receive approval, but we usually know right away. We need a loan application, credit, and all the supporting loan documents.
No, you don’t. The program was initially created to assist First Time Homebuyers however, it was later extended to all homebuyers.
There is no income limit and no income requirement. This means that individuals from every income level can request assistance with the closing costs of their home purchase.
The program aims to help more people become homeowners by not having any income requirements.
Buyers pay for their own loan closing costs. Like all loans, FHA, VA, and USDA loans also have closing costs. Although homebuyers are responsible for these costs, you might not have to cover them all on your own if you qualify for the Closing Cost Credit Program, or if we negotiate Seller Credits on your behalf.
No, you can buy anywhere in Florida.
This offer is available only to clients who close on the purchase of a property with Bluecastle Realty as the Buyer’s Agent using the ShowME function of our site for the property showings, finance that purchase with Bluecastle Lending as the Mortgage Broker, and close with Bluecastle Title and/or its assigns as the Title Company. If you elect to use your own non-Bluecastle realtor, we have other ways the help you save.
No, you do not have to repay it back. This can help many worried about paying back a loan to a family member, returning a favor, or having a second mortgage like with the Florida Hometown Heroes or the Florida Assist Second Mortgage Programs.
No. The Florida Hometown Heroes Housing Program assists frontline workers in purchasing homes at reduced financing costs. These include police officers, firefighters, teachers, healthcare workers, and childcare staff. You repay the money loaned from a second mortgage when you sell the home, move, or refinance the first mortgage. You have to return the money when one of these events occurs.
With our program, You do not have to repay the assistance.
No. Florida Housing offers eligible borrowers money for a down payment or closing costs with no interest. Florida Housing provides eligible borrowers with funds for a down payment or closing costs without charging any interest.
This funding gives you a second mortgage. You repay the money loaned from a second mortgage when you sell the home, move, or refinance the first mortgage. You have to return the money when one of these events occurs.
No. Unlike other programs, you can sell right away without having to pay a cent back. However, the program is only for primary residences.
The minimum amount of money you need is the money for the down payment for VA, FHA, and USDA loans.
This program might not be readily available to most lenders. While Bluecastle Lending offers it, some competitors may not participate in similar programs. This could limit your options for shopping around for the most competitive mortgage rates.
The very few lenders that allow us to offer the closing cost credit program usually have more stringent qualification requirements. While Bluecastle Lending aims to streamline the process, be prepared for a potentially more thorough underwriting process.
Due to the additional verification steps involved in approving borrowers for the closing cost credit program, the closing process might take longer than usual. The standard closing period for a home purchase is typically around 30 days. With this program, it could extend to 45 days.
Interest rates for this program might be slightly higher than other loan options. That’s why we offer the Buy Now, Refinance Later program! This program allows you to lock in a home today and refinance later when rates potentially go down. This way, you can leverage the benefits of the American financial system to save money in the long run, without putting additional strain on your savings.
Ultimately, the decision of whether closing cost assistance is right for you depends on your priorities and financial situation. Consider the following:
Weigh the potential savings of up to $10,000 against the potential downsides. For some, this significant cost reduction might outweigh the additional steps involved.
If you have a strong credit score and a solid financial profile, you might be well-positioned to navigate the potentially stricter approval process.
If a quick closing is critical for your move-in timeline, the additional 15 days needed for the closing cost credit program might be a deal-breaker.
Bluecastle Lending believes transparency is key. We want to empower you to make informed decisions. While closing cost assistance programs come with some drawbacks, the time and financial savings are substantial.