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    Email: joe@joemetzler.com

  • MN First Time Homebuyer Classes

  • MN First Time Home Buyer Classes

    Minneapolis / St Paul, MN: Buying your first home can be a fun exciting time. It can also be stressful, especially as there is a lot of misinformation spread from well intended friends, family, and even Real Estate Agents.

    When it comes to first time home buyers, they are usually told about special programs for first time buyers, and classes you need to take. The first thing to understand, is most mortgage programs DO NOT REQUIRE a home buyer education class, UNLESS you are getting down payment assistance.

    Most people don't want to take a class unless necessary. Therefore we generally suggest you complete a full Loan Application FIRST for review to determine if you even need a class. There are never any obligations to review your situation. 

    The second major thing to know is that IF you DO need to take a class, you need to take the correct class.

    [PRO TIP] Almost ALL classes put on by a Real Estate Agent, Bank, Credit Union, or Mortgage Company are really only marketing gimmicks designed to get you introduced to those people, so you hopefully use them as your Real Estate Agent or Loan Officer. These classes DO NOT COUNT and should be avoided.

  • Home Buyer Education Classes in MN

  • Here in Minnesota, like most other states, to obtain down payment assistance as a first time home buyer, you ARE REQUIRED to attend a Minnesota state approved 8 hour home buyer education class. This class is mandatory for programs like the Minnesota Housing Finance Agency (MHFA) Start Up loansDakota County First Time Home Buyer, City Living, and many other programs where you get assistance.  The class is also required to get reduced monthly mortgage insurance with the HomeReady conventional 3% down payment program.

    The required classes: 

                  Home Stretch (Live Class)

                  Frameworks (Online Class)

    This class can be taken online, or in person at multiple locations across the state. There are different costs for each class ranging from as low as $25 for a live in-person class Home Stretch Class, to $75 for the online class Framework Class. Only 1 borrower is required to attend.

    The official required class is a NO PRESSURE, NO OBLIGATION class. No software, books, or anything else to buy. They will teach you about making good decisions in your future home buying experiences, and provide great information about the qualifying process, improving your credit score, and much more. There is no better way to learn about being a First Time Home Buyer in Minnesota than to attend AN APPROVED home buyer education class. 

    Upon completion of the class, you will received the required completion certificate that you need to give to your Loan Officer.

  • Learn More about our Minnesota First Time Home Buyer Classes and Programs

    What is a First Time Buyer Loan?

    Many people dream of owning a home but the home loan process can be confusing for many first time home buyers. We offer first time buyers with many home loan options and assist the buyer in finding the best home loan for them. First time home buyer programs can offer lower interest rates, low down payments, or reduced taxes.

    FHA and VA Loans for First Time Buyers

    First time homebuyers often experience the most difficulty amounting a significant down payment and everyone should have the opportunity to buy a home. For this reason the Federal government has developed two loan programs to assist homebuyers that have a little or no down payment. These programs are called the Federal Housing Administration (FHA) and the Veteran's Administration (VA). These programs are not solely intended for first time home buyers; your home loan advisor will be able to determine if you qualify and if so which program is acceptable for your needs. FHA and VA loans can be especially advantageous when combined with a HFA or MCC first time homebuyer program.

    Who is Eligible for a First Time Buyer Loan?

    First time home buyer programs are designed to help borrowers who may not have enough money to pay the full cost of the down payment or the closing costs on a mortgage. These programs make obtaining a mortgage more cost effective. There are even programs specifically for residents of each state. First time home buyer programs are available to those who have not owned a home for the past three years.

    Community Home Buyer Programs

    Community homebuyer programs reduce the down payment the borrower must pay to 3%, which must be the borrower's own funds. The closing costs can be gift funds, a grant, or seller assistance up to 3% of sale price. This type of home loan requires the home buyer to take a class on home ownership in their state. Upon completion of the class, the homebuyer will receive a certificate that reduces the cash requirement and expands the qualification ratios. Community homebuyer programs have been making it possible for many people to have the opportunity to buy a home.

    What are Pre-Paids or Escrows?

    Escrow is a deposit of funds, a deed or other instrument by one party for the delivery to another party upon completion of an event. In simpler terms, escrow is where the transaction changes hands and prevents the seller from not receiving the money from the sale and prevents the buyer from not receiving the home that was purchased. Escrow is important to both buyers and sellers during the mortgage process.

    Mortgage Credit Certificates

    A Mortgage Credit Certificate or MCC is a certificate awarded by your local government agency authorizing the home loan borrower to take certain federal income tax credits. The credits awarded help to free up funds and make the monthly home loan payments more affordable for the homeowner. First time home buyers are typically the candidates eligible for an MCC but in special cases that you may discuss with your home loan advisor this requirement may be waived. Income and purchase price requirements also vary state to state and should be covered in conversations with your home loan representative.

    First Time Home Buyers Programs

    At Cambria Mortgage, our company offers a wide variety of first time buyer programs to Minnesota, Wisconsin, and South Dakota first time buyers. First time buyer programs can make securing a Minneapolis St Paul and surrounding area home loan easier and more affordable. Contact The Joe Metzler Team at your premier Minnesota mortgage lender, Cambria Mortgage (yes, the countertop people) to begin your first time buyer loan.