Silicon Valley property is notoriously expensive. However, a new study from the National Association of Realtors has found certain beliefs among first-time homebuyers that may put up unnecessary hurdles to homeownership. Of the interviewees who did not own homes, most estimated the necessary down payment at 15 to over 20% of the purchase price. This would be a nearly insurmountable problem for people hoping to buy Silicon Valley real estate. However, it’s not true. The NAR has found that in 2016, the average down payment was 11%. Of homebuyers younger than 35, the average down payment was 8%. In that age bracket, 16% of homebuyers did not have to put down any down payment at all.
Shop Silicon Valley Real Estate and Get Help with the Down Payment
Affordability continues to be an issue in the Silicon Valley property market. Mortgage rates are predicted to rise somewhat this year. However, the down payment doesn’t have to make things harder. In fact, the California Housing Finance Authority has several programs to help first time homebuyers with the down payment. Visit CalHFA to find out about their programs. Use the eligibility tool to find out if you qualify.
Please call our office if you have questions about programs that can help you purchase your first home. We would be glad to go over the different programs with you and help you find the house of your dreams.