Pennsylvania Program description Keystone Home Loan Program To be eligible, you and any other adults who will live in your home must be first-time home buyers, meaning you cannot have owned a home within the last three years. These requirements can be waived if you buy a home in a targeted area or you're a discharged U.S. military veteran. Purchase price and income limits apply. You must have an acceptable credit history, ability to repay your loan and sufficient funds for an application fee, closing costs and down payment based on the purchase price of your home.
Whether you'll have to pay mortgage insurance will depend on your choice of conventional, USDA, VA or FHA-backed financing. Keystone Advantage Assistance Loan Program This down-payment-assistance loan, which can be paired with Pennsylvania’s purchase programs, can help cover down payment and closing costs of up to 4 percent of the of the purchase price (maximum $6,000) in the form of a second mortgage at a 0 percent interest rates.
This loan is repaid over a 10 year term. Borrowers must have a credit score of at least 660, and cannot have liquid assets of more than $50,000. HFA Preferred Risk Sharing (No MI) The No MI program offers a conventional mortgage with a 30-year fixed-rate term, structured so you won't have to pay mortgage insurance (MI) even if your down payment is less than 20 percent of your home's purchase price.
Instead, your loan might have a slightly higher interest rate. To be eligible, you must have an acceptable credit history and ability to make mortgage payments, which will be not more than 30 percent of of your income, and there are income limits based upon household size and location. You'll have to pay an application fee and closing costs and contribute at least $1,000 of your own money toward your down payment.
The remaining funds can be a gift or from a down payment assistance program. HFA Preferred (Lo MI) The Lo MI program also offers a conventional mortgage with a 30-year fixed-rate term, but you will need to pay for mortgage insurance if your down payment is less than 20 percent. To be eligible, borrowers must meet the same requirements listed for the Preferred Risk Sharing Program. ACCESS Home Modification Program Made in conjunction with a Keystone Home Loan or Keystone Government Loan, this program offers an interest-free deferred-payment loan to those who have a permanent disability or live with a family member who has a one and need funds to make accessibility modifications to a home they wish to buy.
This program provides a deferred payment loan, with no interest, and no monthly payment; the loan becomes due and payable upon sale, transfer, or non-owner occupancy of the property. There are no fees associated with the loan; the minimum loan amount is $1,000 and the maximum is $10,000. Home modifications must meet the needs of the person who has a physical disability and will live in the home. Examples include bathroom modifications, installation of grab bars and handrails, lifting devices, adding a main-level bathroom or bedroom, widening doorways or hallways and other such changes.
Access Downpayment and Closing Cost Assistance Program This program can only be coupled with the ACCESS Home Modification program and and whose gross, annual household income does not exceed 80 percent of statewide family median income. The program offers an interest-free deferred-payment second loan to people who have a permanent disability or live with a family member who has a permanent disability.
The minimum loan amount is $1,000. The maximum is $15,000. This loan will become due and payable if you move out of your home or sell or transfer it to another owner. The amount of assistance is based on the borrower’s need. For any first mortgage with a loan-to-value greater than 80% (except RD and VA), the borrower is required to contribute the lesser of $1,000 or 1% of the loan amount from their own verifiable funds, and the borrower can have and have liquid assets of no more than $5,000.
HOMEstead Downpayment and Closing Cost Assistance Loan Program Homebuyers eligible for the HOMEstead program may qualify for up to $10,000 in downpayment and closing cost assistance in the form of a no-interest, second mortgage loan. HOMEstead funds are forgiven at 20 percent per year over five years for all loans closed on or after January 1, 2007. The minimum loan amount is $1,000; the maximum is $10,000.
For all loans with loan-to-values greater than 80% (except RD and VA), the borrower is required to contribute the lesser of $1,000 or 1% of the loan amount from their own verifiable funds. Renovate and Repair Loan Program Homeowners can borrow up to a maximum of $35,000 or 120 percent of the home's value for approved home repairs or renovations of their primary residence (minimum of $2,500) in the form of a 10, 15, or 20-year fixed rate loan.
Borrowers must have credit score of at least 620, but households can have a combined income no greater than 150 percent of the state’s median income. R&R loans can be a source of payment for emergency repairs to critical life–safety systems in the homes, as long as the loan application is made to the Local Program Administrator within 30 days of the repair. Purchase Improvement Loan Program Coupled with the Keystone Home Loan Program, this program allows buyers to combine a Keystone Home Loan with additional funds for home repairs or improvements.
The minimum additional loan amount is $1,000. The maximum is $15,000. The home's purchase price is subject to limits and the appraised value after completion must support the cost of the repairs. The repairs might include plumbing or electric systems, improved heating or air-conditioning systems, addition of living space, kitchen or bathroom renovation, roof replacement or energy conservation or solar energy improvements.
Up to of three inspection fees of up to $75 each may be included in the repair costs. Employer Assisted Housing (EAH) Initiative This program offers homebuyers working for a “Participating EAH Employer” (there are 49) with a 30-year fixed-rate loan and down-payment assistance. The down-payment assistance comes in the form of an interest-free 10-year loan of up to $8,000. This program targets “community employees, medical personnel, school employees, police and fire personnel, county workers, laborers, service industry staff, etc.
” Borrowers must meet the qualifications of the Keystone Advantage Program. Mortgage Credit Certificate The Mortgage Credit Certificate allows homebuyers to claim a tax credit of 20-50 percent (20%-50%) of the mortgage interest paid per year, capped at $2,000 annually. It is a dollar-for-dollar reduction against your federal tax liability; the percentage amount you can deduct depends on your annual income.
The MCC can be used in conjunction with HFA Preferred and Keystone Government programs.See Also: First Baptist Dallas Service Times
An equipment is without doubt one of the largest investments you will ever make. Appliances are normally hefty purchases, and they are 1 of your most crucial areas of your property. You depend on appliances for all the things from cooking to cleaning, and particularly thinking about the amount of cash you may be putting forth for it, it only makes sense that you d would like to you should definitely take advantage of reasonable get.
Home appliances is often a term that is used very commonly now but what does it stand for? Home appliances stand for the mechanical and electrical merchandise that are used in the home for your functioning of the ordinary home.
First Time Home Buyer Grants Government Grants for first time home buyers, make up the second type of down payment assistance. They have no seller conditions or contribution requirements. The only requirement to satisfy government assistance housing guidelines is that your family income must meet the stipulated minimum, which varies according to the number of your dependents and the median income for the area in which you intend to purchase.
(Grants by state are linked below) Example: (This is only a SAMPLE - income levels typically are higher) DependentsAssistance: Grant ForVery Low Income$5000.00 Grant ForLow Income$3750.00 Grant ForModerate Income$2500.00 1 (individual) $0 - $16,000 $16,001 - $24,000 $24,001-$34,000.00 2 $0 - $18,000 $18,001 - $27,000 $27,001-$37,000.00 3 $0 - $22,000 $22,001 - $30,000 $30,001-$39,000.00 4 $0 - $25,000 $25,001 - $34,000 $34,001-$43,000.
00 As you see from this sample chart, the higher your income, the greater number of dependents that are needed to qualify for the maximum amount of home buyer grant assistance. Since median income varies by area, there are many programs designed to fit the area you reside in. In major metropolitan areas, there may be 3, 4 or 5 different programs available! The great part is, if they don't use the funds, they risk losing them in the following funding year!! These government downpayment programs are typically done in the form of "Silent Seconds".
This means there is no monthly payment, no interest is charged, accrued or paid and why we say "Free Money". The funds sit as a second mortgage on the home until the house is either sold (whereby the funds are repaid) or forgiven by the government (typically 5 to 15 years). Some down payment assistance programs actually require the funds to be repaid in the form of a monthly payment. This repayment becomes part of the qualifying process for the initial mortgage loan.
Why use them? Typically, It's free money! There is no better reason than that! Now, for the most important question, how do you qualify? Well, it's pretty simple. The number one qualifying factor is income. You must meet the median income requirements established for your area. Then, you must be able to qualify and be approved for a low interest mortgage loan, and as a first time home buyer, you cannot have owned a home within the last three years.
Your approval for a government assistance loan is almost assured if you can meet these three criteria. Typical Disqualifications: Excessive Income Default on a Government Loan Tax Liens Bankruptcy discharge not 24 months old Unpaid Child Support Prior Foreclosure The Home Buyer has owned a home within the last three years. Your Route to Home Ownership - Presented by Freddie MacPredatory Lending - An award winning educational site for Protecting home buyers from Predatory Lending practices.
Home Buying Guides - The premier guides to buying your home as developed and produced by HUD. HUD Approved Grant Agencies - Direct From HUD (Important for FHA Borrowers)All documents are in PDF FormatHud Approved Down Payment Programs List 1(PDF) Hud Approved Down Payment Programs List 2(PDF) Hud Approved Down Payment Programs List 3(PDF) Hud Approved Secondary Financing(PDF) OK, now Grant Resources by State Go to CHARITY/Not-For-Profit Down Payment Assistance Programs! Home Buyer Education:Reverse Mortgages Copyright 2003 - 2012 U.