Now, in many areas throughout the United States, owning your own home may be more affordable than you think. If you currently rent or are considering homeownership in Minnesota, now it is the time to make a smart purchase.

Some financing and first-time buyer programs that are currently available:

1) HomePath offers some very attractive features for house-hunters on a limited budget. To begin with, your down payment can be as little as 3 percent of the purchase price — and there’s no mortgage insurance required. In addition, buyers can get up to 3.5 percent of the purchase price in closing cost assistance through a special incentive program Fannie Mae is offering through Oct. 31. 2011. That’s not all. Since Fannie Mae is the one selling the property, it doesn’t require an appraisal in order for it to approve the new mortgage. Buyers can also borrow funds needed for modest renovations to the property and have them rolled into the mortgage. http://www.homepath.com/financing/index.html

2) HomeSteps with Freddie Mac had some deal such as Homebuyer Incentive similar like HomePath sometimes. HomeSteps  SmartBuy  program offers a limited two-year HomeProtect® Home Warranty  and up to 30% savings* on new appliances.
http://www.homesteps.com

3) First Time Homebuyer Downpayment and Closing Cost Assistance from Minnesota Housing Participating lenders. The following website should give you free info for first-time buyer programs, but you’ll need to click around a lot. The programs you should look at are the
“HAF”, “MHFH”, “CASA” and the “HOME HELP”. See below for more details:
http://www.mnhousing.gov/partner/loans/MHFA_003407.aspx

4) Another financing type for homes that need renovation is the FHA 203k program. Kind of like the HomePath program but it can be used on more properties. See below for more details:
http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/203k/203kabou