First-Time homebuyer programs

It can be difficult for first-time homebuyers to come up with the funds for down payment, closing costs, and other related expenses. But did you know there are programs designed specifically to help first-time homebuyers on their journey to homeownership? Joshua Ward, loan officer at KFS Mortgage Company, in Waterville, offers these tips to for first-time homebuyers.
If you have never owned a home or you have not held an ownership interest in your principal residence within the last three years, you are considered to be a first-time homebuyer.
Here in Maine, the first program you should consider is MaineHousing’s First Home Loan program, which provides low fixed-rate mortgage loans with little to no down payment required. Buyers can also qualify for down payment and closing cost assistance through MaineHousing’s Advantage program. By completing a hoMEworks-approved education class, program participants are eligible to receive $5,000 to be used for down payment or closing costs on a single-family home. If you buy a 2 to 4 unit home, you are eligible to receive $5,000 plus $3,000 for each additional unit in the home.
To qualify for MaineHousing’s First Home Loan, your annual income must be within income limits, which vary based on the number of people in your household and the location of the home. And you’ll need to have a credit score of 640 or higher.
If you are a Maine veteran, active-duty member, or retired military, you are eligible for the MaineHousing SaluteME program for first-time homebuyers, which offers a 0.25% discount on the already low MaineHousing rates. To qualify for the SaluteME program, you need to be on active duty, honorably discharged from military service, or served on active duty for 180 days or within a war zone. National Guard members who meet this qualification are eligible.
MaineHousing loans are available through a number of lenders throughout Maine, including KFS Mortgage Company. In addition to MaineHousing loans, there are other loan programs with down-payment requirements as low as 3 – 5% of the home purchase price. Each program has unique benefits and requirements.
For more information, call Joshua Ward at KFS Mortgage Company at 207-873-5153 or visit www.kfshomeloan.com. He’ll answer all your questions, compare the pros and cons of each option, and make sure you end up with the mortgage that’s right for you. KFS Mortgage Company, NMLS#2097505, is an Equal Housing Lender.