Boston Property Management: CrowdSource your Down Payment

Boston Property Management

Boston Property Management: CrowdSource your Down Payment

Have you ever been in a situation where you want to get a new home but you don’t have enough money for the downpayment? Fear not as you can always try crowdsourcing the down payment money. Sure there are the costs where you have to pay 5 percent and additional costs for processing payments. There are some caveats as not all sites will allow you to raise money for your personal projects. However sites such as GoFundMe will be able to help you out. The downside is that it likely that strangers will not want to help you unless you are down and out on your luck or have suffered some sort of tragedy.

A GoFundMe page is good because it will allow you to tap within your Friends and Family network to get the money you need to pay for the deposit.  If you don’t like that then you can always try DownPaymentDreams  which will let you set up a gift registry which can lead to contributions towards your downpayment. In this way couples who are about to get married, can opt to go for money instead of expensive gifts.

The only issue is that your mortgage lenders will ask you where you got your money from. So you need to make sure you list down every penny as well as the source so that there are no major issues.

Boston Property Management: Other Sources

If that is not the route you want to take, you can always take a grant from the government or see if your state has a housing assistance program. If you have a income which won’t allow you to buy a home, then the housing authority of your state can help you with the deposit price by contributing around 5 percent of the purchase price towards the down payment.  The good thing is that a number of homes are eligible under the homeownership program.

It is easy to find the information online as you need to enter all the relevant data to find out whether you are eligible for the program or not. This will also allow you to find out whether you can get a grant, tax credits or if you are fit for the first-time buyer program.

Protect your Down Payment

It is important to protect your down payment once you take the initiative to invest it in the housing market. So it helps to get re-insurance which will protect your down payment if you are forced to sell your home for a loss. The condition is that the sale must take place at least two years after the purchase but not more than seven.

We hope you liked our post “Boston Property Management: CrowdSource your Down Payment”.

 

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