Yes most programs do require home buyer education, usually 6 to 8 hours.
No, the Down Payment Assistance Program is operated through a network of non-profit providers in various parts of the State. You must contact the provider that serves your area. The list of providers is located here.
No. You may use the assistance for the purchase of a condo or manufactured home. A manufactured home must be connected to permanent utility hook-ups and must be located on land that is owned by the participant of land leased for a period at least equal to the affordability period.
If it has been three years or more since you held primary ownership in a principle residence, you may possibly qualify if you meet all other program requirements.
No. DPA is only for principle residences.
The DPA Program options are as follows:
Standard DPA: Up to $10,000 in a deferred, forgivable, 0% interest loan for 10 years. Up to $2,000 additional for borrowers in a Mortgage Credit Certificate Program,. The loan is forgiven if the borrower remains in the home ten (10) years without transferring title. Otherwise the loan is due and payable if the borrower sells, leases, transfers title, refinances, gets a home equity loan, or pays off the first lien within ten (10) years.
Yes. The amount may vary by agency, but typically the home buyer must provide 1 percent of the sales price from their personal income or a minimum contribution of $500.
Not if it is a conditional grant. You must sign a home buyer agreement stating that you will maintain the home as your principle residence for a certain period of time, known as the affordability period. This typically ranges from 5 years to 15 years.
The intention of the Down Payment Assistance Program is to help households not only become homeowners but also remain homeowners. Generally, homeowners who receive “non-traditional” type of financing have a more difficult time sustaining home ownership than homeowners who receive prime loans. Sub-prime loans may charge a higher interest rate and higher fees that will require the homeowner to make a higher monthly payment than a prime loan. Interest-only loans may lower a homeowner’s monthly payments but will limit the amount of equity a homeowner can gain over time because the principal loan amount is not being reduced. Adjustable-rate mortgages may cause the homeowner’s monthly payments to increase over time, with the potential for those payments to be more than a household can handle.
Anyone who wants to buy a new house...