The dreams of home ownership can be elusive for so many people. Being able to save for a required down-payment and closing costs can seem like an insurmountable task for hard-working, low-income Americans. There is a great lending program for anyone purchasing a home in Maricopa County, Arizona called The Home in 5 program.
The 'Home in 5 program' is a down-payment assistance program created by the Industrial Development Authority of the County of Maricopa and the City of Phoenix. This program was designed to help low and moderate-income families, veterans, and active military personnel, while also helping to stabilize areas and neighborhoods that were hardest hit by the economic recession.
This assistance lending program offers 5% of the loan amount towards a buyers down-payment and/or closing costs as a free grant. Veterans and active military personnel can obtain an extra 1% if they qualify. Through the Home in 5 program individuals can obtain a 30-year fixed rate FHA, VA, or USDA loan with a maximum home purchase price not to exceed $300,000. Important to note is that this program does not rely on any taxpayer revenue. Years ago, State housing-finance agencies funded mortgage programs through tax-exempt single-family bonds. These bonds were sold at a slightly higher price with a slightly higher interest rate. The premium was then used to finance down-payment assistance programs such as this one.
Buyers who qualify for the Home in 5 program must have a minimum FICO score of 640 with a maximum debit-to-income ration of 45%. All buyers under this program must also attend a home buyer education course approved by the U.S. Department of Housing and Urban Development and must obtain a certificate of completion. Buyers must occupy the home as their principal residence, and only homes purchased in Maricopa County are eligible. Maximum household income can not exceed $88,000 to qualify for the Home in 5 program.
If you think you may qualify for The Home in 5 program or wish to receive more information about purchasing a home in Maricopa County, contact us today. We'll help your dream of owning a home become a reality!