Thinking about buying your first home in Shorewood, Wisconsin? If so, you might be wondering if there are any special programs available to help you out. The good news is, there are! In fact, even if you’re unsure of whether or not you qualify as a first-time home buyer, programs exist to make homeownership more affordable.

The definition of a first-time homebuyer is different in the world of mortgages than it is in your mind. A person qualifies as a first-time homebuyer for mortgage purposes if the individual has not held title to a residential property within the past three years. However, there are exceptions. If one owned a piece of land without a residence on it or a mobile home without land underneath it, they may be considered a first-time homebuyer.

Even though the above definition might come as a surprise, there are advantages to being classified as such. Here are their benefits:

Lower down payment: With programs like FHA loans and conventional HomeReady/Home Possible, one can put down as little as 3% for one’s first home.

Reduced mortgage insurance: This allows one to automatically qualify for a lower PMI cost, competitive interest rates: For one’s entry into the housing market, one is likely to qualify for attractive interest rates, which means that one will save in the long run.

Even if you don’t meet the above definition of a first-time homebuyer, there are plenty of programs designed to allow one to purchase a home in Shorewood. However, many of these are income-based, meaning a first-time buyer may be eligible for help if their income falls within a certain bracket.

Congratulations! You have officially decided to pursue the American dream of owning a home in Shorewood, Wisconsin. As a first-time home buyer, the process may seem daunting, but rest assured, a loan officer with local Shorewood experience will be with you every step of the way.