Down Payment Assistance and More

Are you ready to take the plunge and buy your first home, you have discovered the best resource for learning what is available to you and other First Time Home Buyers. Down payment assistance, first time home buyer programs, low subsidized interest rates, zero down payment mortgage programs, low to no down payment programs, how to purchase a home with ZERO money out of your pocket, get approved for a mortgage AND be a cash buyer, how to get your home offers to the top of the offers stack, get sellers to pay for your closing costs, lock in a rate now and then go home shopping, and more!

There are a number of challenges facing first time home buyers when purchasing their new home. Among the most common are the fact that they may not have enough money saved up, they may not have the necessary credit score, and they may not be familiar with the homebuying process. First time home buyers face a lot of challenges when it comes to purchasing their first home. The biggest challenge is finding a home that is within their budget and meets their needs. Many first time home buyers also have to contend with a tight housing market in which there are limited homes available. If you are a first time home buyer, be prepared for a lot of hard work and patience. However, with the right attitude and preparation, you can overcome any challenge and purchase your first home.


There are many first time home buyer programs that can help you get into a home with less money down, lower interest rates, and more affordable monthly payments. Imagine owning your own home, with a low down payment and monthly payments that fit your budget. With the help of first time home buyer programs, you can make your dream of homeownership a reality. There are a lot of benefits to taking out a first time home buyer mortgage program. First of all, you can get a lower interest rate than you would with a traditional mortgage. 

Not only are these loans designed to help you buy your dream home, but they can also help you save money in the long run. Here are some of the key benefits of using a first time home buyer mortgage: 

-You can save money on your down payment.

-You can get a lower interest rate than you would with a traditional loan.

-You can get a mortgage that is tailored to your specific needs.

-Down Payment and/or Closing Cost Assistance

-Flexible Underwriting Guidelines

Low Down Payment Mortgage Programs

First Time Home Buyers

FHA: the Grandfather of Mortgage Programs,  For those looking to buy their first home, a Federal Housing Administration (FHA) mortgage may be a great option. With an FHA loan, you can get a lower down payment and enjoy some great benefits, like first time homebuyer protections. The FHA mortgage works very well with down payment assistance programs. If you can provide your own down payment it is very possible to be approved for a FHA mortgage with a middle credit score as low as 580 or higher. The FHA mortgage is more tolerant of higher debt to income borrowers and has easier underwriting guidelines than any of the other mortgage programs designed for first time home buyers.  FHA will allow for a 6% seller concession to help home buyers with their closing costs.   

Home Possible and Home Ready, these are the two Conventional, Freddie Mac and Fannie Mae, that are designed to help first time home buyers! Both of these programs allow for a 3% down payment and reduced mortgage insurance.  The interest rates on these program are very attractive and at times are lower than a conventional mortgage with larger down payments. The program is designed for low to moderate income home buyers with income limits capped at 80% of the median income for the area your home will be located, credit score requirements are set at 620 or higher, and the debt to income ratio is recommended to be at 45% of you gross monthly income. A Conventional mortgage approval is preferred with home sellers and these two programs are very flexible in their underwriting guidelines to provide you with a Conventional mortgage approval.

These two programs have another side to them called HFA, or Home finance Agreement, A HFA mortgage program is perfect for first time home buyers who have a low down payment. With HFA, you can get a mortgage with as little as 3 percent down! Plus, with HFA you can enjoy many of the same benefits as a traditional mortgage, such as a fixed rate, the ability to borrow over 100 percent of the home's value, which works well with down payment assistance programs, very reduced mortgage insurance, and more relaxed underwriting guidelines than a normal 3% down payment conventional mortgage.

USDA, this program is sometimes known as a Rural Development Mortgage, and is for low to moderate income households to purchase a home in rural areas outside of the more populated metro areas of Missouri. The USDA mortgage program provides 100% mortgages, no down payment, to qualified home buyers.  The USDA Mortgage Program does not require monthly mortgage insurance. I use this program a lot with home buyers who want to purchase a new home with little to zero money out of their pockets. The USDA mortgage program generally requires a 640 or higher credit score but at times can be manually underwritten to a 620 or higher credit score.  If you are looking to purchase a home outside the city limits and want to purchase a home with little to no money out of your funds, this is a great mortgage program. I can help you determine if a home is within the geographical confines of the program, just ask.

VA, a mortgage program for those who have served in the United States Military and are eligible for this benefit through the Veterans Administration, this is my #1 favorite mortgage program because it serves the home buyer better than any mortgage program! The VA mortgage program has no credit score or debt to income requirement. There is no required minimum down payment until you get into the Jumbo price range or exceed your benefit. Qualifying for the VA mortgage can be quite easy, the guidelines do assure the home buyer are well qualified to own a home. You will need your DD214 and your Certificate of Eligibility for a VA mortgage. If you are a Veteran and are eligible for this great mortgage program, Thank You, and Congrats! Helping Veterans purchase a new home with little to no money out of pocket is simple and something I especially enjoy doing for my VA mortgage clients.


First Time Home Buyers


There are 100s of Down Payment Assistance programs available throughout the Country? There are National DPA programs, State PDA Programs, and sometimes even local County and Municipal Down Payment Assistance Programs! Not all Mortgage Lenders offer or make available down payment assistance to home buyers. I can provide you with all the down payment assistance programs available locally or statewide, and many of the National DPA Programs. Are you a first time home buyer trying to navigate the complex world of down payment assistance programs? Look no further! 

I know and understand that buying a home can be expensive, which is why I offer first time home buyer programs that provide down payment assistance. This means that you may be able to get into your dream home sooner than you thought! Down payment assistance can be a very valuable tool for first time home buyers. It can help reduce the amount of money they need to borrow and can make the home buying process more affordable. Down payment assistance programs can provide funds directly to the home buyer, typically in the form of a loan or a grant.

Already have a down payment saved using down payment assistant can help you in many ways, create a larger down payment by adding your savings and financing a lower mortgage amount. Down payment assistance can be used to pay your closing costs. Keep more of your savings in your pocket to be available after your new home purchase, you will want many new things for your new home. Many DPA programs come with lower interest rates and reduced mortgage insurance rates helping to save on your monthly house payment.

Using down payment assistance strategically can help to make your new home less expensive at closing AND for the life of the mortgage!

A Lower Interest Rate!

Lower Mortgage Monthly Mortgage Insurance!

A Lower Monthly House Payment!

A huge advantage to all First Time Home Buyer Programs are that they either provide a lower than market interest rate, a much lower monthly mortgage insurance rate, and with that lower interest rate and mortgage insurance rate you will receive a lower home payment when compared to all mortgage programs for move up home buyers. A lower house payment will also make more expensive homes affordable to you as it will help to reduce your debt to income ratio, so you will be able to search for homes that may have been a bit out of your price range.

The Important Considerations When Buying Your First Home?

Buying your first home is a significant financial decision and there are several important things to consider before making the purchase. Here are some of the most critical factors to keep in mind:

  • Your budget: Consider your income, expenses, and debts to determine how much house you can afford. Keep in mind that buying a home involves more than just the mortgage payment, there are other expenses to consider like property taxes, insurance, utilities, and maintenance.
  • Determine your Maximum house payment, what is that amount you will not go one dollar over? This will help to determine how much home you want to be pre-approved for and you should be shopping for.
  • Location: The location of your home is essential. Consider the proximity to your job, schools, public transportation, and local amenities like grocery stores, restaurants, and parks.
  • Size and layout: Think about your current and future needs when it comes to the size and layout of the home. Do you need multiple bedrooms, a home office, or a large yard?
  • Condition of the property: The condition of the property is crucial. Consider the age of the home, any necessary repairs, and any potential issues that may arise in the future.
  • Homeowner association fees and rules: If the property is part of a homeowners association (HOA), be sure to review the fees and rules associated with it.
  • Resale value: Even if you plan to live in the home for a long time, it's important to consider the potential resale value of the property.
  • Home inspection: Always get a professional home inspection to identify any potential issues with the property that may not be apparent during a walkthrough.
  • Financing: Consider your financing options and shop around for the best mortgage rates and terms.
  • Future plans: Consider your future plans, such as the possibility of starting a family or changing jobs, and how they may affect your living situation.
  • Emotions: While it's essential to consider all the practical aspects of home buying, emotions can also come into play. Think about how the home makes you feel and whether it aligns with your vision for your future.

Overall, buying a home involves many important considerations, and it's important to take the time to evaluate all of them carefully to make an informed decision.

First Time Home Buyers

Getting Started

  • Know your budget, what you want for a house payment, know what you want in your first home. Do your homework, that pun was intended.
  •  Secure a Mortgage Loan Officer, before you go home shopping! Get Pre-Approved, know what options are available to you. If you want down payment help find a lender that provides many options. Utilize a lender that knows and has experience with first time home buyers.
  •  Find a Real Estate Agent that is experienced and knowledgeable of first time home buyer needs, that will work with your mortgage loan officer. This is building the team that will serve you, negotiate for you, and help you to purchase your new home with the benefits and options that are best for you.
  • Go home shopping!
  • Find a home, negotiate the sales price, and have the seller say YES!
  •  Work with your Mortgage Loan Officer to finalize the mortgage approval for your new home.
  • Close on your new home! 

Buying your first home can be fun and scary all at the same time, if you set up the best team for you they will guide throughout the entire process. They will be there to answer your questions and answer many of your questions before you can ask them. Be on task and be flexible, you will get a lot of input from friends, family, co-workers, and many others, you head will swim. If you put together a solid team they will make sure that your concerns are addressed and they will make sure they get you into your new home quickly and with as little anxiety as possible.



I specialized in helping new home buyers purchase their next new home with little to no money out of their pockets. Why do I specialize in little to no money out of pocket home purchases? Because in many instances new home buyers purchase a new home and use up all or a large portion of their savings and resources when there are better alternatives. Having some or all of those saved funds available not for the new home purchase but for the new home after closing can make a big difference for many home buyers. I read a recent report that stated that the average home buyer will spend $8,000 to $10,000 within the first year of purchasing a new home. I know that is why, per Housing Wire, that the biggest regret of new homeowners is that they don't have enough savings after closing because it all went to down payment and closing costs. I try to help alleviate that regret! 

Learn more about the  ZERO Program            Be A Cash Home Buyer Then Get a Mortgage             

The Buyer Accepted Program, BAP, is an exclusive home buying program that helps you get your offers to purchase moved up to the top of the stack. In today's home buying market First Time Home Buyers are under more pressure to find a home than ever, investors are purchasing their homes, institutional buyers are competing too, along with all the other first time home buyers who generally represent 30 to 35 percent of all home buyers every year. Did you know that cash buyers are now about 25% of the purchases in todays home buying environment? 

According to a recent study from researchers at the University of California-San Diego, cash buyers have paid about 12% less than those using a mortgage? The BAP program allows you to be that cash buyer AND have a mortgage. Research also shows that buyers armed with cash offers are going under contract 7 times faster than financed buyers! You can take advantage of this too!

The Buyer Accepted Program will purchase your next new home for you using cash/funds directly from New American Funding, then we will provide the mortgage after the cash closing. Before you go home shopping you will be pre-approved for a Conventional, VA, or Jumbo mortgage by an Underwriter, this will allow you to shop for a home as a cash buyer or if you elect as a mortgage financed home buyer. Whatever works best for you. If you can be approved for a mortgage you can be a cash home buyer too!


By now I am sure you have heard that interest rates have increase and are no longer at historic lows and that interest rates may continue to go up and that they are highly volatile. The Lock and Shop rate lock option with New American Funding will allow you to lock into an interest rate up to 120 days while you shop for a new home. You will need to find a home and close within the 120 days, though we do provide for a 30 day lock extension should you need some more time.  Lock and Shop is available for Conventional, FHA, and VA mortgages. You can use the interest rate you locked in to or if interest rates have gone lower you will have the opportunity to float down.

Interest rates change daily and of late there are days that they change within the same day, sometimes more! Help protect yourself against the volatility of the marketplace by locking in a rate and then shopping for your Next New Home!

Renovation Mortgages 

Renovation mortgages like the FHA 203k or the Fannie Mae HomeStyle are great option for First Time Home Buyers to have available to them when they are looking for their new home. Sellers today are listing homes As Is, Conventional Only, and other restrictive alternatives that are keeping some first time home buyers from making offers. Renovation mortgages fix nearly all those restrictive items and helps you open your home buying search to nearly every home on the market. In some instances renovation mortgages will help with the removal of some contract contingency like appraisal and inspections making your offer more attractive to sellers. 

An advantage of renovation mortgages for many is that the mortgage finances your repairs and updates plus the purchase costs allowing you to buy a home that you like but has issues, the renovation mortgage can fix those issues, update, and refresh your soon to be new home. 

I am a Certified Renovation Mortgage Specialist, I know these programs very well and better than most. I can answer all your questions about these programs and help get you get prepared and approved for a FHA 203k, HomeStyle, or VA renovation home loan. In my website here I have a lot of very useful information about renovation mortgages if you would like to do some home work on renovation mortgages.



Takes Only 2 Minutes

Get Your Personalized and Detailed

First Time Home Buyer Pre-Qualification 

Within 1 to 2 business days you will get an email from me detailing the advantages and options I can provide to you. 

Just a couple minutes of your time to put yourself in a far better home buying position, a couple minutes to learn what a difference can be yours!

NOTE: If you don't see The 2 Minute Pre-Qualification below, please refresh your page, sorry.

Bob Rutledge Mortgage

Loan Officer NMLS#: 297044

New American Funding 12321 Olive Blvd, ste 150
St. Louis, MO 63141