Missouri Mortgage - What to Expect When Buying a Home in Missouri
Maybe you’re buying your first home in Missouri, or perhaps you’re relocating to Missouri from another state. Either way, it’s important that you educate yourself on Missouri home loans before shopping for a home and mortgage. This article explains what you’ll need to know before buying a home in Missouri:
The price of homes in Missouri varies widely between zip codes. For example, in Saint Peters, Missouri, the median price of a home in the summer of 2005 was $168,000; however, the median price of a home in Chesterfield, Missouri, was $225,000, and in Parkville, Missouri, it was $300,000. Overall, the median price of a home in Missouri is $89,900. Job growth rates in Missouri are about half that of the national average, and average interest rates in Missouri are above the national average.
Missouri is a non-community property state. Additionally, it is one of only 14 states that uses a “Deed of Trust” as a mortgage. This means that a trustee holds the title of a house for a lender rather than the mortgage company itself.
Missouri’s Housing Assistance Programs offer mortgages with below-market interest rates and down payment assistance to veterans, and people with very low incomes or disabilities.
The Missouri Association of Community Action, Inc., offers a program to Missouri residents called the Missouri Building Assets Project (MBA). Participants in this program are given a savings account and attend money budgeting classes. They put money into a savings account every month with a savings goal in mind. Once they’ve reached their goal and attended a significant amount of budgeting classes, the MBA program leaders match their saved amount for use as a down payment on a home.