Owning a home is easier than you might think

Many local residents rent homes for so many years and never consider buying a home because it may seem like a plunge deep into debt. But many Guam neighbors don’t realize there are several ways to make owning a home a reality, even for those who think they can’t afford one.

“A lot of times people go out in to the market and they say they can’t afford mortgage and their renting an apartment or condo, and what they don’t realize is that they’re actually paying mortgage - not theirs, they’re paying their landlords,” Ron DeGuzman, director of the Guam Housing anf Urban Renewal Authority. GHURA offers its Downpayment and Closing Cost Program for first-time homebuyers.

This loan program is for low-income families - if a three-person family wanted to purchase a house in the area of $165,000 and their combined income does not exceed $45,350, chances are they would qualify for the program. And a few home ownership classes later, GHURA would loan you $18,000 or 18% of the purchase price and assist you with the purchase of your new home. Continued DeGuzman, “We don’t do the full blown 20% that the bankers and lenders require.

And reason we don’t do that is often time if we just give the whole outright 20%, there’s no real investment on the families part, and therefore it’s not taken seriously.” Now back to that $165,000 house. Pinaula says GHURA would also recommend not maxing out on the amount that a bank or lending institution would allow you to borrow. He says before you decide to buy a home with a higher mortgage, think of every day things you’ll also need to pay for like gas, food and clothing.

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