DPA Programs

[Anonymous]

Is it still permissable to use a down payment assistance program for an FHA loan as a first-time home buyer?  I'm getting alot of confusing info and would like to know my options for before I apply for an FHA loan.  I have reserves but will take any help I can get. Thanks in advance for your help!!

[Anonymous]

Hi getmyhouse,

As of October 1st, 2008 all seller funded FHA down payment

programs are no longer allowed by act of Congress. The most

well known of these programs was the Nehemiah Program,

which was widely used by new home builders.

Now, however, only non-profit and charitable organizations are

offering DPA programs for FHA loans. Best advice is to check

with a local lender or Realtor. They are plugged in to the most

up to date information. Depending on the non-profit or charity,

they will provide anywhere from 1 - 5% of the DP funds for you

in the form of a gift...so you won't have to pay the money back.

Hope this helps you. This should get you pointed in the right

direction, but starting with local lenders/Realtors will give you

the exact information you need. Good Luck to you!!!

CanDo

"The right attitude is everything" 

[Anonymous]

There are down payment assistance grants through your local hud offices but these are income restricted so your yearly salary must be 80% of your county hud income limit.  Go yo www.hud.gov and put in your state and county and it will tell you the numbers.  Also you can get phone numbers of the local offices to talk to people about first time home buyer programs you may be eligibe for

[Anonymous]

Thanks for the good advise.  I will check into the resources you all suggest.  Happy Holidays!!!