A Guide To Buying Your First Home in Ho Ho Kus NJ

A Guide To Buying Your First Home in Ho Ho Kus NJ

Congratulations on achieving a tremendous milestone in your life — the purchase of your first home. A purchase of this magnitude can feel daunting, and perhaps overwhelming, but thankfully, resources abound to help you purchase your home with confidence and peace of mind. As you review your options and apply for the programs for which you qualify, reach out to the local real estate experts at Fox & Stokes to answer any questions you may have and to guide you through the process of buying your first home in Ho Ho Kus NJ.

New Jersey programs

New Jersey is strongly encouraging home ownership and its positive impact on the community through a series of programs offered in-state for first-time home buyers. See if any of the following can help you acquire your first home in Ho Ho Kus NJ.

NJHMFA assistance

As a first-time home buyer, you may qualify for two great programs the New Jersey Housing and Mortgage Finance Agency offers. Can you answer “yes” to the following questions?
  • Has it been longer than three years since you owned a home?
  • Will you be purchasing a primary residence home in New Jersey?
  • Is your household income less than or equal to $127,700?
  • Is your desired home within the prescribed maximum price limits?
If so, you may be able to qualify for the first-time home buyer mortgage. Get in touch with a NJHMFA lender who will evaluate your situation and determine your eligibility.

You may also qualify for The Down Payment Assistance Program, a no-interest, five-year loan that could provide you with up to $15,000 toward the down payment and closing costs of your new home. This offer must be used in tandem with the NJHMFA loan, and it does come with limitations. Talk with your lender to learn if you are eligible to take advantage of the assistance.

Homeward Bound is another NJHMFA mortgage option to explore. To qualify, you’ll have sixty days to move into the purchased property as your primary residence. A debt-to-income ratio and income cap impact eligibility, but the requirements vary by location.

Police and Firemen’s Retirement System

If you are an active member of the Police and Firemen’s Retirement System and you have completed at least one year of service, you may qualify for a set rate mortgage up to $726,000. Interest rates are determined twice a year, always in February and August. This is great news if you’re a first responder, as you can go into the home-buying process able to calculate your precise monthly payment.

In order to qualify for this loan, you do not have to be a first-time home buyer, but one-fourth of the loans offered are reserved for those who are. The property purchased must be your primary residence, and the loan is for up to 85% of the home’s value. If you are unable to make a 20% down payment, expect to pay for mortgage insurance. A lender fee of $1,500 will also be assessed, part of which you will be asked to pay when you apply. Along with closing costs, the balance of this fee will be due at the time of closing.

Federal programs

No matter what state you are in, some real estate purchasing programs can help you achieve your home ownership dreams in in Ho Ho Kus NJ.

VA loans

The Veterans Administration has striven since 1944 to help our servicemen and women and their families acquire a home of their own. To this end, those who are active duty, veterans, and surviving military spouses are encouraged to apply for their home loans. This program offers several key features, including limitations to closing costs, no private mortgage insurance, no down payment required, and you can continue to utilize this loan as many times as you need to over the course of your lifetime.

Who qualifies? Those who have completed 90 or more continuous days of service if you are currently active in the military, and for veterans, it depends upon when you served.

FHA loans

The Federal Housing Administration offers loans with low down payment requirements, limited closing costs, and some flexibility for credit ratings. 

  • Senior citizens (minimum age of 62) are able to pursue FHA Reverse Mortgages, which enables you to withdraw equity from your home in cash.

  • Looking to reduce the environmental impact and energy consumption of your home? Explore the FHA Energy-Efficient Mortgage, which allows you to include the costs of these improvements in your mortgage.

  • First-time home buyers using FHA loans can pay as little as 3.5% of the price of the home.

Freddie Mac home loans

If you’ve thought your income excluded you from eligibility for home ownership, don’t give up until you’ve explored the Freddie Mac home loans. The Home Possible program targets those whose income is no more than 80% of the area’s median amount. You may borrow up to 97% of the value of the home, and a wide variety of properties can be purchased. Home Possible loans also make it possible to utilize many sources of income to pay the down payment.

First-time home buyers may also qualify for HomeOne mortgages. These loans require a 5% down payment, but there are no limits on the home buyer’s income (unlike the Home Possible loan).

Why Ho Ho Kus NJ

Ho-Ho-Kus offers a close-knit community with a small-town vibe. It's known for its quiet streets, tree-lined neighborhoods, excellent schools, low crime rates and a strong sense of community. If you enjoy a slower-paced lifestyle and a sense of familiarity, Ho-Ho-Kus might be appealing.

Despite being relatively close to major cities like New York City, Ho-Ho-Kus is surrounded by beautiful natural landscapes. The borough has several parks, including the Ho-Ho-Kus Brook Reservation and the Saddle River County Park, providing opportunities for outdoor activities, walking trails, and recreational spaces. This convenient location also makes commuting to work, shopping areas, and entertainment venues relatively convenient. Additionally, Ho-Ho-Kus has a train station, providing direct access to New York City via NJ Transit. Search for homes for sale in Ho-Ho-Kus here.

Home ownership is attainable!

The bottom line is simple. Don’t give up on your dream of home ownership. While you’ll need a close working relationship with a qualified lender to help you navigate the terms and conditions of the loan that is right for you, you’ll also need an ally in the real estate industry who can help you find the home your family has always wanted. The knowledgeable team at Fox & Stokes is ready to answer your questions and work alongside you from initial inquiry to the closing table. Give them a call today.

Work With Us

We are the #1 real estate team in Ho-Ho-Kus, bringing together passion, dedication, and resources to help our clients reach their buying and selling goals. With you every step of the way.

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