How can you buy a home with your tax refund

Tis’ the season for getting your tax refunds back! Tax refunds can be that extra push for first-time homebuyers to become homeowners.

Using Your Tax Refund for Buying a Home

1. Money for downpayment –

Saving for the downpayment is one of the biggest hurdles to overcome to become a homeowner. Although many buyers overestimate the size of a downpayment. Today there are options as low as only 3% down, that’s $6,000 for downpayment on a $200,000 home!

There are many other options to help with downpayment, have you heard of downpayment assistance programs? If not, check out downpayment assistance programs–there are options for first-time homebuyers and buyers who have already purchased too. Contact me to learn more.

2. Paying for Closing Costs –

A typical home buyer will pay between 2%-5% of purchase price in closing costs, but the amount does vary widely depending on where you live.

3. Lower Your Interest Rate(Buy-Down Interest Rate)

Your extra refund could go to buying down your interest rate on your home loan. Buying down your interest can save you a lot of money over the life of the loan!