Sonoma Valley north of San Francisco, one of the hottest housing markets in the country. Ten percent down will get them a 9 percent loan with only one point if they have a high enough credit rating. And they don t have to state an income or disclose any assets. Then they d only have to put 3 percent down to get the same rate. They re designed to last two years at most, then you sell and move on, or it becomes an adjustable rate loan.
Money is available elsewhere as well.
A plethora of mortgage programs are available to assist people who want a piece of the American Dream but who have not saved enough to make the 20 percent down payment considered standard in their parents day. Some of those mortgage programs are the progeny of Fannie Mae and Freddie Mac, a pair of corporate siblings. Fannie Mae, a product of the Great Depression, was chartered in 1938. Freddie Mac was chartered in 1970. Neither Freddie Mac nor Fannie Mae actually makes loans directly to buyers.