Types of Down Payment Assistance

 

Down Payment Assistance Loans:

Deferred Payment Loan:  Borrower can get up to $8,000 dollars deferred until the home is sold, re-financed, paid off or no longer the borrowers primary residence.  Zero interest.

Deferred Payment Loan Plus:  Borrower can get up to $10,000 dollars deferred until the home is sold, re-financed, paid off or no longer the borrowers primary residence.  Zero interest.  Borrower must meet two of the additional requirements.

  1. Sole Head of Household with at least one qualifying dependent.
  2. Household of four or more people, do not need to be related.
  3. Disabled Household Member.
  4. Front end ratio of 28% or higher.

 

Forgivable Down Payment Assistance Loans:

Home$tart or HomeStart or HomeStart Plus:  Borrower can receive between $5,000 and $10,000 dollars for the down payment and closing costs of a home purchase.  Borrower must use the home as their primary residence for five or more years to have the total amount forgiven.

Native American Home Owner Initiative Grant:  Borrower can receive up to $10,000 dollars for the down payment and closing costs towards a home purchase.  Borrower must use the home as their primary residence for five or more years to have the total amount forgiven.

 

HFA Programs:

HFA Preferred:  Fannie Mae 30 Year Fixed 3% down Conventional that has no borrower down payment required.  3% down payment can be paid with qualifying down payment assistance programs.  Reduced mortgage insurance.  Can be used with Community Seconds to satisfy the 3% down payment.  State HFA agencies determine the minimum amount the borrower is required to contribute to the transactions.  Most state HFA’s require between $500 and $1,000 dollars from the borrower.

HFA Advantage:  Freddie Mac 30 Year Fixed 3% down Conventional that has no borrower down payment required.  3% down payment can be paid with qualifying down payment assistance programs.  Reduced mortgage insurance.  Can be used with Community Seconds to satisfy the 3% down payment.  State HFA agencies determine the minimum amount the borrower is required to contribute to the transactions.  Most state HFA’s require between $500 and $1,000 dollars from the borrower.

HFA Preferred Risk Sharing:  Fannie Mae 30 Year Fixed 3% down Conventional that has no borrower down payment required.  3% down payment can be paid with qualifying down payment assistance programs.  No mortgage insurance for borrowers with qualifying credit scores.  Can be used with Community Seconds to satisfy the 3% down payment.  State HFA agencies determine the minimum amount the borrower is required to contribute to the transactions.  Most state HFA’s require between $500 and $1,000 dollars from the borrower.

Upfront Paid Mortgage Insurance (UPMI) with HFA Preferred™ and HFA Advantage:  30 Year Fixed 3% down Conventional that has no borrower down payment required.  3% down payment can be paid with qualifying down payment assistance programs.  Upfront paid mortgage insurance for qualifying credit scores.  Can be used with Community Seconds to satisfy the 3% down payment.  State HFA agencies determine the minimum a borrower is required to contribute to the transactions.  Most state HFA’s require between $500 and $1,000 dollars from the borrower.

 

Affordable First Mortgages

Start Up:  30 Year affordable first mortgage.  Available for RD, VA, FHA, Fannie Mae Conventional, Freddie Mac Conventional.  Can be used with qualifying down payment programs.  Home Buyer can not have owned a home for at least three years.

Step Up:  30 Year affordable first mortgage.  Available for RD, VA, FHA, Fannie Mae Conventional, Freddie Mac Conventional.  Can be used with qualifying down payment programs.  Home Buyer does not need to be a First Time Home buyer.

 

Down Payment Gifts from Employers:

Fannie Mae allows gifts from your employer.  The employer assistance may be in the form of:

  • a grant,
  • a direct, fully repayable second mortgage or unsecured loan,
  • a forgivable second mortgage or unsecured loan, or
  • a deferred-payment second mortgage or unsecured loan.

A borrower of a mortgage loan secured by a principal residence may use funds provided by an employer to fund all or part of the down payment or closing costs subject to the minimum borrower contribution requirements below. Employer assistance can also be used for financial reserves for all types of assistance with the exception of unsecured loans (which may only be used for the down payment and closing costs). Employer assistance funds are not allowed on a second home or an investment property.

Funds must come directly from the employer, including through an employer-affiliated credit union.

Freddie Mac allows Employer Assisted Homeownership (EAH) Benefit.

 

 

Down Payment Gifts from Churches/Non Profits

 

 

Grants from Non Profits

 

 

Grants from Realtors

 

 

Grants from Lenders/Loan Companies

 

Home Mortgage Down Payment

 

 

1st Home Buyer

 

Grants for Buying Homes

 

Programs for Buying a Home

 

Home Mortgage Down Payment Assistance

 

First Time Home Owner Assistance

 

Funding for First Time Home Buyers

 

Programs for New Home Buyers

 

First Home Mortgage

 

Home Buying Loans

 

First Time Home Buyer with No Down Payment

 

First Time Home Grant

 

First Time Home Buyer with No Down Payment Programs

 

First Time Buyer Rates