Sweet Incentive for First-Time HomebuyersWed, July 16, 2014
If you’re looking to start your home search this fall, there’s a new pilot initiative that will sweeten the deal if you’re a first-time homebuyer. It’s the Homeowners Armed with Knowledge (HAWK) counseling program, which aims to provide FHA insurance discounts to first-time homebuyers who obtain housing counseling and education via the U.S. Department of Housing and Urban Development, or HUD.
Here are the perks: Those who complete the HUD-approved counseling before and after a home purchase will receive a 50 basis point reduction in the upfront FHA mortgage insurance premium (MIP) and a 10 basis point reduction in the annual FHA MIP. In English, that means you could save $325 per year, or nearly $9,800 over the life of your loan.
In addition to the monetary savings, you become more knowledgeable about the home-buying process and better prepared for what lies ahead. Sounds good, right? You also can brush up on the ins and outs of purchasing your first home by browsing through the RE/MAX Home Buying Guide.
Buying a home can be complicated and a little overwhelming. After all, it’s one of the biggest investments of your life. Keep calm and don’t go it alone. A local RE/MAX agent can help guide you in the right direction.