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Choosing the Right Home Loan on the Bergen County Real Estate Market

Many first-time home buyers that we work with often come in with the assumption that getting a first-time home buyer loan is the best route to take.

While these loans have definitely made it easier for buyers to purchase a home, there are some downsides to these types of loans that Bergen County buyers should be aware of.

Today, I’m going to tell you about the advantages and disadvantages associated with first-time home buyer loans.

First-Time Home Buying on the Bergen County, NJ Real Estate Market

As you may know, a first-time home buyer loan is one that offers financial assistance to qualified home borrowers by using a number of strategies, including:

  • Zero to low down payments
  • Subsidized interest costs
  • Grants
  • Forgive loans
  • Defer payments

Generally speaking, those home buyers who have not owned a home before are good candidates for these types of loans.

In addition, those who have not owned a home in more than three years also qualify.

While these loans are a great way to get your foot in the door, there may be some restrictions associated with it.

Some of these stipulations may be:

  • You’re not allowed to buy homes in higher price ranges
  • You must make the newly purchased home your primary residence
  • You’re not allowed to rent the newly purchased home to others
  • The home must meet a certain physical standard, such as have no egregious safety issues.

Because of these stipulations, there are definitely some disadvantages to first-time home buyer loans, including:

  • Buyers are limited to the type of home they want by price range
  • Buyers may not be eligible for certain program benefits if they sell their home too soon
  • Buyers may not have many loan types from which to choose
  • Buyers may have to pay for recapture taxes in exchange for some of the benefits they receive through the program

While these types of loans are perfect for those people who may not be able to purchase a home any other way, it’s not the only option out there.

In some cases, it may be better for you to go with a traditional loan.

Every case is different, of course – which is why it’s so important to work with an experienced Bergen County REALTOR to discuss the options.

Investing in a Bergen County, NJ Home for Sale

If you would like to learn more about securing a loan for a Bergen County home for sale, please contact us, Jeff & Debby Adler, today.

We have years of experience helping home buyers find their dream homes in such communities as:

Until next time,


About The Adler Home Team

When looking to buy or sell in Northern New Jersey, you may rely on The Adler Home Team and their intimate knowledge of the distinct communities throughout the region. Jeff & Debby Adler continue to lead with contribution and have served over 1,100 families in their 20 year experience in Northern New Jersey. Through their combined efforts, this team of eleven professionals is very diligent in serving a full array of clients from first time buyers to those seeking their expertise in Residential, Condos, Townhomes, Luxury, New Construction, Relocation, Short Sales, Foreclosures and Rental Properties. By accessing the very best in technology, current market data and creative marketing applications, The Adler Home Team takes every measure to ensure that their clients are educated and provided with the critical insights that meet their specific requirements. They teach, lecture and train at the national level on negotiation skills, marketing and team building. The Adler Home Team is most proud and thankful for their strong referral business that confirms their talents, creativity, professionalism, diligence, knowledge, and outstanding integrity. The Adlers look forward to forming a partnership with their clients to help them reach their goals and make smart business decisions. So, when it comes time for you, a friend, or a family member to make a move, trust the Adler Home Team to win for you. Google

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