First home buyer assistance - start to finish help to ensure you get a great mortgage

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hi there everyone welcome to another
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real estate video this is Xavier V Dania
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the real estate YouTube guy here in
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Phoenix Arizona helping you accomplish
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your home goals in today's video we're
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talking about downpayment assistance I
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have seen a such a huge change in the
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last three years just with what's been
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happening especially helping a lot of
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first-time homebuyers and I feel
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obligated to make a video it's not gonna
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be very you know based in fact like you
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should not be doing this or you should
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be doing this this is more gonna be just
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my opinion we're also gonna talk about
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down payments in general and what I
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recommend you do as first-time
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homebuyers and usually the question is
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should I save up money or use a
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downpayment assistance so I'm gonna kind
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of do a deep dive into this and
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hopefully help you decide because right
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now there's a lot of people who are
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looking to buy a home and you know maybe
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they're still you know whispers left
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over from a few years ago where
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downpayment assistance is this easy
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thing that makes sense and it's super
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easy to get so I'd like to address that
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and talk to you about that so I've been
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in the business now 6 7 years and the
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first three or four years I'd like to
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say downpayment assistance were like a
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large part in my business I'm talking
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like over three quarters worth just down
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payment assistance program in those days
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downpayment assistance and down payment
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it was a no-brainer the interest rate
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was maybe like we're talking did she had
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her own down payment it was 3.25 down
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payment systems were three and a half it
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just so-so such a small margin it didn't
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really make sense to put your own down
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payment so a lot of people bought their
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houses with super low interest rate at
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the time house prices are still
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recovering from their crash so you know
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everybody was buying cheap houses with
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downpayment assistance and as a matter
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of fact right now we're seeing people
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who buy in those times now selling their
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houses making 50 to $100,000 well it's
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not like that anymore unfortunately
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nowadays I mean we're back to a normal
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market normal market meaning it's gonna
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hurt to buy a house and although those
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options are there long term they don't
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make sense so to just get straight to
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the point is it worth getting
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downpayment assistance in 2019 2020 for
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first-time homebuyers I would like to
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say 9 out of 10 times it's not here's
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why
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I think it was early 2018 when you know
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for some reason the other and you can
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speculate all you want but the the
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interest rates for downpayment
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assistance is balloons straight up they
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just spiked not talking about people who
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had it talking about from that point on
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if anybody who wanted it would have to
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pay this higher interest rate and this
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was very difficult for people to grasp
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but to be honest with you guys a lot of
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people just got used to having this
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really nice program everybody was used
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to buying low interest rate downpayment
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assistance loan you would literally you
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know put your deposit down at the very
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end you get your money back this was
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happening left and right so when it
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shifted there was almost a sense of like
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well what's going on because whenever
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somebody would come and say hey I want
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downpayment assistance then they would
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be told to high interest rate and all
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the you know the changes and their
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monthly payment and they would say what
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are you trying to scam me because my
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cousin just bought a house eight months
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ago or four months ago and they got what
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will happen so so since that big shift
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we really don't see that much down
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payment assistance program some more I
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still see them personally as well I
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still see people get them but because it
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wasn't as easy and people had to
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actually put thought now before they
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bought the house a lot of people opted
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to either not buy or to just save up the
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downpayment so yes if you want to go for
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downpayment assistance your interest
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rates gonna be higher I don't want to
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quote any exact numbers I can say here
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in Arizona it's above 6% for downpayment
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assistance or the majority of the time
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and this is a across the board interest
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rate usually can't be negotiated down
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especially with a delicate government
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assistance program and that's just the
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way it is whereas if you put your own
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downpayment which could be as low as
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three or three and a half percent you
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know if you're buying a $200,000 house
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we're talking $7,000 then your interest
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rate with drops down at least one or two
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points and we're talking in difference I
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used to say back in a day a hundred
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dollars a month now it's a hundred to
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two hundred dollar different if you saw
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my original video where I talked about
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the cost of buying a house and not