(NAPSA)—Thecurrent state of the housing market can be good newsfor first-time home buyers. Prices seem to have come down from their recent peaks and there are a number of plans and loan types that can open the door to your American Dream. You can even take advantage of free services that examine your financial situation, available credit and housing needs and then match you with an appropriate loan type. Just check first whether the “financial experts” you speak with are trying to sell you a loan. Instead, you mayprefer to find unbiased sources of information who are neither lenders nor Realtors. One such group works with homebuyers from prequalification to close of escrow by assessing the buyers’ personal objectives and providing predictable, safe and affordable plans to make home ownership a reality. There is no cost to the buyer. Sellers pay for the group’s services, which are completely confidential. It'll help you get loans that are government insured and guaranteed safe. Because these first-time homeownership programs often eliminate the need for a large down payment, they tend to be particularly helpful for members of the military, peace officers, postal workers, teachers and others who want to avoid spending their entire savings when purchasing a home. First Steps To qualify for these mortgages, available up to $571,000 depending on your geographic area, you need a credit score of 620 or higher. You can even earn up to $120,000. Here are hints that may help: Each year, over 14,000 home buyers take advantageof various pro- grams to buytheir first home. This year, you may be among them. Get your annual free credit report by visiting the government-approved Web site at www.annualcreditreport.com or calling (877) 322-8228. Make sure to get a report from all three agencies. Correct any errors. Pay down your debt. Outstanding auto and credit card loans can affect your creditworthiness. Lenders use a formula called debt to incomeratios to establish a borrower’s liabilities, including a new mortgage payment, prop- erty taxes and insurance. An acceptable ratio is 45 percent. Get free assistance. You can begin the prequalification process by calling Home Buyer Service at (800) 608-9833 and providing some basic information. Once qualified, buyers get an application kit and are invited to attend a home-buying education workshop and receive prepurchase counseling that prepares people for the responsibilities of home ownership. Finally, a participating Realtor will show buyers homes in their preferred area andprice range. Free Brochure To learn more and for a free brochure, visit www. HomeBuyer Service.org or call (800) 608-9833.
