When purchasing a new home, always know your options. The process should start by visiting with a lender of your choice and showing up with your pay stubs and W-2's. It is a necessity to know how much you will need in closing costs and down payment so your Realtor can go to work for you! It is free to have a buyer's agent so why not utilize this service and have someone working for you! There are several programs out there that are note worthy. It's good to do your research because not all lenders offer the same types of loans. Here is a brief overview of some of the loans:⢠A conventional loan, which is the easiest of all loans, requires a down-payment (some as low as 3%) and allows for seller to pay buyer's closing costs up to 6 % of purchase price!!! This one also can have no private mortgage insurance (which protects lender only if you default on payment) if 20% is put down. There is also a 100% conventional loan for those who qualify. Ask for details.⢠There is the FHA loan that requires 3.5% down and seller can pay up to 6% of buyers closing costs on this one also! This one, however, contains PMI for the life of the loan. ⢠The VA loan helps Servicemembers, Veterans, and eligible surviving spouses become homeowners. This is a zero down loan that allows the seller to pay buyer's closing costs up to 4%. This loan contains no PMI!⢠The rural development loan or RD- USDA loan is a program that assists low to moderate income households in rural areas. This is a 100% loan! Seller can pay buyer's closing costs on this one as well!If you are eligible, there is an ADFA Advantage which is a low interest rate for those who qualify (2.5%)or one of my personal favorites is the ADFA move up program which allows for higher income limits. There is also ADFA downpayment Assistance which provides up to $6000 for down payment and closing costs. It is a DPA loan which is a 2nd mortgage at 4% for 10 years. Arkansas Dream Down payment initiative assists lower income 1st time homebuyers with up to 6% of purchase price or max $10,000 for down payment and or closing costs. This is a 2nd mortgage loan with no monthly payment and is forgivable after 5 years better known as ADDI. Some programs require homebuyer education classes.When accepting a contract with the ADDI program for down payment assistance, note there may be repairs required. A Realtor can better assist you in this process. The repairs I have seen include but are not limited to: no foggy windows, screens in tact on all windows, windows that will stay open, no leaks under sinks, GFCI's in any area where there is water including laundry, baths, kitchen, exterior, and garages or carports, anti-tilt on free-standing stoves, patio doors must latch, no cracks in pull down attic steps, all bedrooms and major rooms need smoke detectors, no loose commodes, no missing rain collars on roof, all unused gas lines capped and grounded, wires in breaker panels bushing protected and no open knock outs on panel, insulation on suction line at A/C compressor. Before you decide to buy or sale your home it is imperative to be prepared and to have a Realtor that is eager to assist you with understanding each type of loans. Never hesitate to call your Realtor if you have questions.