Arizona Down Payment Assistance
How You Can Get Grants Or State Programs To Pay All Or A Portion Of Down Payment And Closing Costs
If you’re looking for a down payment assistance program it shouldn’t matter if you’re buying a home in Phoenix, or if you’re searching for homes to buy in chandler. Unfortunately with some programs they force you to purchase in certain areas.
So I reached out to one of my longtime associates in the mortgage industry and I asked what program would have the most flexibility for people searching for houses to buy valley wide.
He said that in his opinion for someone looking for down payment assistance, he would go with the:
HomePlus Down Payment Assistance Program
With this mortgage program you basically put 0 Down (Zero Down)
As the down payment assistance program provides up to 5% of the mortgage loan amount to use towards your down payment and your closing costs.
How it works is you will have a deferred second mortgage at 0% that is forgiven after 3 years.
So if you plan on buying a home to live in for more than 3 years you won’t need to pay it back, if you do need to sell you’ll pay off the second with the proceeds from the sale.
With that being said you can see that this is an owner occupied loan program.
With the HomePlus down payment assistance program the purchase price limit is $396,680 so that means you could get as much as $19,834 to use for your down payment and closing costs.
Home buyers don’t even need to be a first time home buyer, but it’s a great program for someone buying their first home. The best part of this down payment assistance program is that you’re able to purchase valley wide. So if you’re searching for a home in phoenix you’re covered, and if you’re searching for homes in Mesa, Gilbert, or Chandler you’re good too.
Another wonderful perk of this program is, if you are an active or retired military personnel you may qualify for an additional 1% in down payment assistance, but it’s reserved for Fannie Mae and FHA loans only. (Speak with Kelly Cutter for more details his contact information is below)
Like most down payment assistance programs, or any mortgage for that matter. You will need to have a certain credit score to qualify, with the HomePlus program you will need to have a 640 if you are going with a conventional, USDA, or VA Loan.
If you are going with an FHA loan you will need a 660 credit score.
Now if your credit isn’t quite there yet don’t give up, there are other programs and route that can be taken to help you become a homeowner.
Just reach out to Kelly to create a game plan, no matter if it takes a month or a year he will be there every step of the way.
Let’s Talk Debt....
With every down payment assistance program they want to see that you make enough income to cover the loan amount, or mortgage.
That’s where your debt to income ratio comes into play. With the HomePlus program they want to see a ratio of 45% with the ability to go up to 50% with automated underwriting.
With this down payment assistance program there is a home buyer’s education requirement to qualify. There also is limited funds available and these programs are capable of expiring at any time.
If you registered on my other website and were forwarded here great, we will be reaching out to you shortly to answer any of your questions, register you for the class, and set up your custom home search.
In the meantime head back over to the home search section to start searching homes now !!