Guide To Programs For First-Time Buyers in NKY or Cincinnati

Down payments, appraisal and inspection fees, closing costs, as well as qualifying for a mortgage – all those things may make you think buying a home is beyond your reach. You probably can realize your dream, though, because there are numerous programs for first-time buyers in NKY or Cincinnati. These programs for first-time buyers are designed to help low- to moderate-income, even those who have shaky credit scores. There are also programs aimed at assisting first-time buyers in certain professions, such as the military, law enforcement, and education. So let’s take a look.

First Time Homebuyers in Norwood, Ohio | Team Sztanyo Buyers Testimonial


Many people aren’t aware that the U.S. Department of Agriculture (USDA) guarantees loans for some rural homes that meet their criteria, including the possibility of 100% financing. And, no, you don’t have to start farming or raising cattle – you just have to buy a home in an eligible area.

These loans do have income limits so not everyone can qualify. They are for people with low to moderate incomes based on incomes for that particular area. To qualify for a USDA streamlined loan, you will typically have to have a credit score of 640 or better. If your score is below that, you may still be in the running. You’ll just have to provide more documentation and more proof to verify your payment history.

FHA Loan

Another of the important for first-time buyers programs in NKY or Cincinnati is the Federal Housing Administration (FHA) loan. These loans are aimed primarily at assisting people who simply don’t have the ready cash for a hefty down payment and/or who have a credit record that is less than great. So an FHA loan is often a great option if you can come up with only a small down payment and have a lower credit score. The standard for FHA loans is a 3.5% down payment with a minimum score of 580 and 10% with a score between 500 and 579.

You do need to be aware that with this lower down payment you will have to pay for private mortgage insurance (PMI), usually paying an upfront premium along with annual premiums. The purpose of PMI is to protect the lender in case the borrower defaults on the loan. Still, for many who don’t have a bunch of cash for a down payment, it offers a way to buy a home.

VA Loan

The U.S. Department of Veterans Affairs (VA) offers home loans for many members of the US military, both active duty and veterans. So if you are military, this is definitely one of the programs for first time buyers to look into because these loans often come with no down payment and low-interest rates.

Although VA loans carry a funding fee, it can be rolled into the loan costs, and certain members of the military may be exempt. In addition, such loans don’t require you to carry PMI, and there is usually no minimum credit score requirement. And if you find yourself struggling to make mortgage payments, the VA can work with the lender to smooth things out.

Fannie Mae and Freddie Mac

These may be funny names, but they are good programs for first time buyers in NKY or Cincinnati. Fannie Mae and Freddy Mac are government-sponsored entities with the purpose of keeping the US mortgage market strong. They are called, then, government-sponsored enterprises (GSEs), and they buy certain loans from conventional lenders on what is called the “secondary mortgage market.”

Both Fannie Mae and Freddy Mac require you to have a minimum 3% down payment, as well as a 620 minimum credit score. (The exact score will depend on the particular lender.) You will also need a fairly spotless credit and payment history – for example, a history of paying bills on time. The really good news is that Fannie Mae will accept a debt-to-income ratio as high as 50%, which is much higher than the standard of around 36%. Because you pay less than 20% down, you will have to pay for PMI.

So with these programs for first-time buyers in NKY or Cincinnati, you really can realize your dream of owning your own home. If, however, you don’t qualify for any of these programs, you still have options.

Programs For First-Time Buyers

Team Sztanyo is Your Trusted Guide in Getting Your First Home Purchase

If you’re buying a home or Cincinnati area property Team Sztanyo has the experience you need to help make the buying process easier, less time-consuming, and we’re on your side to help make sure you get the best deal while we worry about all of the details.

Either way, countless local homeowners and investors trust Team Sztanyo to help them wade through the real estate buying and selling process while keeping more cash in your pocket and helping you save the time and headache of working with less experienced brokers.

If you have questions like How much do first-time home buyers have to put down?
What kind of help do first-time home buyers get? Then give us a call! When you call our hotline, you’ll be connected with our real estate expert who will listen to the specifics of your situation before making recommendations and answering any questions you have.

To discover more about programs for first-time buyers, just contact us today! (513) 813-6293

Connect With Us!

If you're looking to buy or sell a property connect with us today!

How Can We Help You?

We would love to hear from you! Please fill out this form and we will get in touch with you shortly.
    (check all that apply)
  • This field is for validation purposes and should be left unchanged.