Why Put Money Down On a Home?

It seems with all the 100-125 LTV programs out there there is no reason to save up for a down payment or is there? For one thing, when the Investor knows you have some of your own money in the transaction they are willing to give you the best rate possible because their risk factor is reduced. When you put even just 5% down it shows you have a investment in the home also. You are much less likely to default on the mortgage if property values drop or other financial issues come up. Yes, it can take a real effort to save for the down payment but it will pay you back for years to come along with a good credit rating. 100-125 LTV rates can be from .375-.750% higher in rates than a 5% down Mortgage. Saving now can bring big paybacks down the road. www.rateinformer.com