Hey everyone,
I’ve been looking into buying my first house, and I came across these 0% down mortgage options. They sound pretty tempting, but I’m worried there might be some hidden downsides.
Has anyone here used one of these no-money-down loans before? What was your experience like? I’m curious about:
- Higher interest rates?
- Extra fees or charges?
- Trouble qualifying?
- Any long-term issues?
I’d really appreciate hearing some real-world experiences or advice. Thanks in advance for any insights you can share!
Hey there! Have you considered the long-term financial impact? I’m curious - what’s driving your interest in no-money-down loans? Have you explored other options like FHA loans or down payment assistance programs? Might be worth checking those out too. What’s your timeline for buying?
i used a 0% down loan last year. rates were a bit higher, but it got me in a house faster. watch out for PMI tho, adds to monthly costs. qualifying wasnt too bad with good credit. no regrets so far, but def do your homework first!
I’ve worked in mortgage lending for over a decade, and I can tell you that no-money-down loans do come with risks.
The main issue is starting with no equity, leaving you vulnerable if home values drop. You’ll also face higher monthly payments due to PMI and potentially higher interest rates. That said, they can be a viable option if you have strong income and credit but lack savings. Just be prepared for higher overall costs and ensure you can comfortably afford the payments long-term. It’s crucial to run the numbers carefully and consider how long you plan to stay in the home before deciding.