Today’s mortgage lenders need more proof than ever that a homebuyer is serious and able to afford the purchase of a home. As a result of the mortgage crisis in recent years, those wishing to borrow money will need to come to the table with more than just promises.


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Lenders prefer to secure loans for people that can reasonably afford the loan and have the ability to pay it back. For their part, borrowers are typically required to provide a down payment of 20 percent of the home’s price before a loan can be secured. There are certain loan programs that will require less of a down payment amount including many government loan programs but few will require no down payment at all.

It will be important to have a plan to save up a sufficient amount of money for the down payment long before you plan to buy a home. Twenty-percent of the home price is typically a large amount for many people to come up with in a short period of time. Planning ahead will ensure you are making smart choices concerning your mortgage.

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