One of the biggest misconceptions among first-time home buyers in Tampa is that you need a 20% down payment to purchase a home. The good news is that’s simply not true.
While putting 20% down can help you avoid private mortgage insurance (PMI) on many conventional loans, many buyers qualify for financing with much less. Depending on your financial situation and eligibility, FHA loans may require as little as 3.5% down, while conventional loans can require as little as 3% down. Eligible veterans and active-duty service members may qualify for VA loans with 0% down, and eligible buyers purchasing in qualifying areas may be able to use a USDA loan with 0% down.
Many first-time home buyers in Tampa may also qualify for down payment assistance. Florida offers programs such as Florida Hometown Heroes, along with other state, local, and county assistance programs that can help eligible buyers with down payment and closing costs.
You may even qualify as a first-time home buyer if you’ve owned a home before. For many programs, a first-time buyer is someone who hasn’t owned a primary residence in the past three years.
If you’re considering buying a home in Tampa, understanding your mortgage options is the first step. Exploring the right loan program could make homeownership more achievable than you think.