Down Payment Misconceptions Still Prevalent in Today’s Market

The mortgage industry has experienced positive changes in the last several years designed to protect the consumer, but many are still confused about what they need to do to get a loan. According to a survey by media research company Ipsos, 36 percent of Americans polled think that a 20 percent down payment is required to qualify for financing.

“Loan regulations have loosened this year to allow for more consumers to purchase a home, as long as they can prove that they are capable of paying back the mortgage,” said Steve DiMarco, president of Key Mortgage Services, Inc. “Through a variety of programs, you can obtain financing for as little as three percent down.”

A new program introduced this year through the Illinois Housing Development Authority (IHDA), called @HomeIllinois, provides 30-year, fixed-rate, affordable loans and grants of $5,000 to help with a down payment or closing costs. As the No. 6 IHDA lender in the state and the No. 1 local mortgage company on the list, Key Mortgage loan officers are intimately familiar with the program. For more information contact a Key Mortgage loan officer.

 

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