A government-backed loan is a loan subsidized by the government, also known in the United States as a Federal Direct Loan, which protects lenders against defaults on payments, thus making it a lot easier for lenders to offer potential borrowers lower interest rates. Its primary aim is to make home ownership affordable to lower income households and first-time buyers.
YouTube Encyclopedic
-
1/2Views:3 5601 731
-
Best Government Home Loans | Government Home Buying Programs
-
Can I Add Rooms with an FHA 203k Loan?
Transcription
United States
There are numerous types of government-backed loans, which vary dependent on the country and status of the borrower. Arguably, the most widely known type of government-backed loan is the US Federal Housing Administration FHA loan, in existence since 1934.
Other types of government-backed loans include the following:
- American Dream Downpayment Initiative - ADDI
- Good Neighbor Next Door
- HOPE VI
- Teacher Next Door Program
- VA loan
- State of New York Mortgage Agency – SONYMA
See also
External links