Down Payment Assistance Isn’t a Myth
Skyrocketing home rental prices in our area have more people thinking about buying a home. If you haven’t thought about you probably should since the cost gap between monthly rent versus a mortgage payment seems to be getting closer. The thought of buying a home for most renters seems too far away because of the rising real estate prices. With single-family homes averaging over one million dollars and condominiums selling in the mid $600k, it almost seems almost impossible to save enough money for a down payment.
You have probably investigated down payment assistance programs, or should I say deferred loan programs, in the past and decided that they are no help. Living in Silicon Valley, I know you have seen very little home buying programs that actually work for the high prices cities, like San Jose, Campbell, or Los Gatos. As you look to find a nice home in areas like Willow Glen, Cambrian, Almaden Valley, it is hard to imagine finding a down payment for homes in these areas.
There are available resources that can help you.
Unison: Down Payment Assistance
Unison is a co-investment company that can help you with your down payment. With as little as 5% down, Unison has a program that can cover the additional 15% of the down payment. Since Unison is a co-investor, there isn’t an extra loan or payment to them. They become a partner in the appreciation or depreciation of your home. What this means is if you decide to sell your home a few years from now, Unison shares in the profit made from the home sale. You get to keep the equity you build while paying down your loan, Unison’s split is on the appreciation amount of the home.
Who is this good for?
- First Time Home Buyers
- Home Buyers looking to build equity by paying down their loan faster.
- Home Buyers looking to get more house for their money
- Home Buyers that have less than 20% down payment and want to avoid PMI.
Whether you are a first-time homebuyer or looking to sell your home, meet with the best real estate agent in Silicon Valley, Brian Tanger. Brian Tanger has been in the business for over a decade and will happy to go over the options you have to buy your next home.