First Time Homebuyers Savings Account

Becoming a homeowner is a big step with big rewards. However, it can also be a challenge, especially when it comes to saving for a down payment. 

Thanks to a new law that recently passed in Minnesota, people can now save for their down payment with a First Time Homebuyers Savings Account, a savings account dedicated for the purchase of a home in Minnesota.

Individuals or couples can open one of these dedicated savings account at any local bank or credit union. Parents or grandparents can also open an account for their children or grandchildren and contribute to these accounts as well. All interest and dividends earned can be claimed by the account holder as a deduction on their state income taxes.

Many people believe that they need to put 20% down to purchase a home. The average down payment is actually closer to 11%. In many cases, the down payment can be even lower than that.

If you want to own a home, opening a First Time Homebuyers Savings Account is an important first step in making your dream a reality. 

To learn more about First Time Homebuyers Savings Accounts, make an appointment with your local REALTOR®, at your bank or credit union, or visit MNHomeOwners.com.

If you have any questions, feel free to email us at fedecu@fedins.com or call us at 507-455-5430