For families that can afford to contribute $2,000 towards the purchase of a new home, the National Housing Foundation pledges to help supplement the remainder of down payment and closing costs. The foundation’s down payment assistance program is open to families whose household income is less than 115% of the area median income. Amount of gifts depends on a buyer’s need and chosen mortgage plan. Program participation depends on the buyer’s ability to meet detailed selection criteria, which is described fully on the foundation’s website. The program requires that the buyer work with a lender and realtor that has been designated a National Housing Foundation Community Partner; the organization will make referrals to interested buyers. Another requirement is pre-qualifying for an approved mortgage plan, which the partner lender will work on. Additionally, the home purchased must be enrolled with the National Housing Foundation, and its seller must agree to pay the gift amount plus a 0.75% service fee. Finally, the buyer is required to attend homeownership education classes. The Foundation will aid buyers in meeting all requirements and in the gift application process. Required forms and applications are available online. If there is no regional office of the National Housing Foundation in a buyer’s area, the organization recommends use of the Nehemiah down payment assistance program. Buyer must contribute $2,000, gift amount determined by need and mortgage plan. Seller pays gift amount plus 0.75% of home’s purchase price. Contact National Housing Foundation, Inc., 943 N. Plum Grove, Suite A, Schaumburg, IL 60173; 888-395-3100; www.nationalhousing.org
Income Eligibility: Must be a qualified homebuyer
Friday, February 29, 2008
If You Have Only $2,000 You Can Get the Home of Your Dreams NOW
Get Your New Home for NO Money Down With a $40,000 Gift
Homebuyers can get a gift of up to $40,000 to cover home purchase costs from the Newsong Buyers Assistance Program. The grant can cover the full down payment amount – an individual does not need to put any money down to buy a home. The Newsong gift program places very few restrictions on program participation. To qualify, a prospective client needs to obtain from a lender a mortgage that accepts down payment funding in the form of a charitable gift. Not every home is eligible – the seller or builder must agree to register the property with Newsong and to donate the gift amount plus a small administrative fee to Newsong. Buyers who are approved for loans are automatically eligible to receive up to $25,000. Average gift amounts are between $5,000 and $15,000. Application procedures are simple for the prospective homebuyer: simple mortgage and realtor referral forms, gift applications, and instructions, program details and process guidelines are all online. And decisions on funding amounts are made the same or following business day! Contact Newsong Buyer’s Assistance; 8022 South Memorial, Suite 200, Tulsa, OK 74133; 918-254-6999; www.buyers-assistance.com;
Income Eligibility: None
Buy Some Land
Funds are provided to assist public or private non-profit organizations in providing sites for housing, to acquire and develop land in rural areas that will be subdivided as building sites and sold on a cost development basis to families eligible for low- and very low-income loans, cooperatives, and broadly based non-profit rural rental housing applicants. Money can also be used for water and sewer facilities, needed landscaping, walks, parking areas, and driveways. Those eligible for loans include private or public non-profit organizations that will provide the developed sites to qualified borrowers on a cost of development basis in open country and towns of 10,000 population or less and places up to 25,000 population under certain conditions. (10.411 Rural Housing Site Loans and Self-Help Housing Land Development Loans (Section 523 and 524 Site Loans)). Contact Director, Single-Family Housing Processing Division, Rural Housing Service, Department of Agriculture, Washington, DC 20250; 202-720-1474; www.rurdev.usda.gov
Income Eligibility: Determined on a case-by-case basis.
Special Loans to Help Build a Brand New Home
American Home Partners offers special construction loan financing packages to individuals and families earning more than $35,000. With its subsidiary Home Partners Credit Corporation, the organization will finance up to 95% for the purchase of land and 100% for the materials, labor and related costs for building a new home. American Home Partners does not require a buyer/builder to make payments during construction, so there is no need to worry about paying rent and paying off the building loan at the same time. The term of the construction loan is 12 months, generally with a 10.9% interest rate and a 13.58% APR; interest accrues during construction. The homebuyer is required to invest time and effort, not money. He or she serves as Project Manager during home construction, arranging for permits and inspections, soliciting bids, selecting and scheduling subcontractors and generally overseeing the building of a new home. American Home Partners provides the home plans, arranges for supply and materials delivery, issues checks for subcontractors, and provides monthly statements that detail budget and loan balance figures. The program also helps participants apply for and obtain a mortgage. A pre-qualification form is available online; a pre-qualification review costs $10. They offer 95% financing for construction of a new home; buyer serves as building project manager. Contact 20 Realty Drive, Cheshire, CT 06410; 800-343-2884; www.americanhomepartners.net
Income Eligibility: Must earn at least $35,000
Free Houses Plus Cash to Fix Them
Well, maybe they are not free, but they can cost you as little as a few hundred dollars a month. And maybe they are not in good shape, but many of the programs will also offer you a low interest loan to fix-up the house. Some states refer to the program as an Urban Homesteading Act. The idea of the program is that the government gets you a home for next to nothing and you agree to live there for a certain number of years. Minnesota has a program. Baltimore had a very active program for many years. Davenport, Iowa purchases
homes, completely rehabs them, and then offers the houses in a lottery each May. You must get a mortgage, but your monthly payments are under $400 a month for a completely rebuilt house! There are some states, like Alaska, that still offer wilderness land for homesteading.
Because the houses are so cheap, there is usually a lottery for eligible buyers. Contact your city government, your county government and your local community development office to learn about local programs. You can also contact your state housing office.
Income Eligibility: None
If you have trouble finding your local community development agency, the following organizations may be able to help. These organizations do not have funds, but may be able to help you locate local agencies.
- National Association of Housing and Redevelopment Officials, 630 Eye St., NW, Washington, DC 20001; 202-289-3500 or 1-877-866-2476; Fax: 202-289-8181; www.nahro.org
- Information Center, Office of Community Planning and Development, P.O. Box 7189, Gaithersburg, MD 20898; 800-998-9999; Fax: 301-519-5027; www.comcon.org
FREE Tuition for Affordable Housing Providers
The Fannie Mae Foundation Fellowship Program is intended to enhance the management and decision-making skills of accomplished state and local government leaders experienced in managing housing and community development programs. The State and Local program curriculum focuses on: organizational strategy; political management; policy development; management control and operations; and management of human resources. The program is taught by Kennedy School faculty. In addition to participation in the Program for Senior Executives, Fannie Mae Foundation Fellows attend special housing sessions coordinated by the Joint Center for Housing Studies of Harvard University, members of the Kennedy School faculty, and Fannie Mae Foundation staff.These sessions address housing issues, trends, policies, and successful models of public/private housing partnership. Fellowship funds cover the cost of the admission deposit, program tuition, and room and board for the session. Applicants must be able to attend the entire three-week session and are responsible for their own transportation and other incidental costs. Contact Fannie Mae Foundation, Policy and Leadership Development, 4000 Wisconsin Ave. N.W., N. Tower, Ste. 1, Washington, DC 20016-2804; 202-274-8066 or 202-274-8057 or 202-274-8000; Fax: 202-274-8100; http://www.fanniemaefoundation.org; Email: llucs@fanniemaefoundation.org
Income Eligibility: None
Uncle Sam Will Co-Sign an Adjustable Rate Mortgage
Here is a way to start with a low monthly mortgage rate. Section 251 insures home purchase or refinancing loans with interest rates that may increase or decrease over time, enabling consumers to purchase or refinance their home at a lower initial interest rate. Under this FHA-insured mortgage product, the initial interest rate and monthly payment are low, but these may change during the life of the loan. FHA uses 1-year Treasury Constant Maturities Index to determine interest rate changes.
The maximum amount the interest rate may increase or decrease in any one year is 1 percentage point. Over the life of the loan, the maximum interest rate change is 5 percentage points from the initial rate. Down payment requirements can be low. Many closing costs can be financed. 100,000 loans will be available this year. (14.175 Adjustable Rate Mortgages). For more information contact your local HUD office, contact the FHA Mortgage Hotline at 1-800-HUDSFHA, or check out the program online at www.hud.gov
Income Eligibility: None
Money to Develop Rental Housing in Urban Areas
Income Eligibility: Must meet HUD requirements for mortgagers
Seniors Can Get Big Money From Their Mortgage
A Reverse Mortgage is a type of home equity loan that allows you to convert some of the equity in your home into cash while you retain ownership. This works like a traditional mortgage, but in reverse. So, instead of making a house payment each month, you receive a payment from your lender. Depending on the type of Reverse Mortgage and the lender, you can take the money in a lump sum, in monthly advances, through a line-of-credit, or a combination of the three. Most Reverse Mortgages do not require any repayment of principal, interest, or servicing fees, for as long as you live in your home. These loans are called rising-debt loans for that reason. The money you get from this type of loan can normally be used for any reason, including paying housing expenses like taxes, insurance, fuel, and maintenance costs.
If you would like a current list of lenders that participate in the FHA-insured program, sponsored by the Department of Housing and Urban Development (HUD), or additional information on reverse mortgages, write to: AARP Home Equity Information Center, 601 E Street, NW, Washington, DC 20049; 888-OUR-AARP or visit their website at, www.aarp.org/money/revmort/. For additional information, contact: National Center for Home Equity Conversion, 360 N. Robert, #403, Saint Paul, MN 55101; 651-222-6775; Fax: 651-222-6797; www.reverse.org/
You can also contact the Federal Trade Commission (FTC) for information about Reverse Mortgages. Contact Federal Trade Commission, Public Reference, 600 Pennsylvania Ave., NW, Washington, DC 20580; 877-FTC-HELP (382-4357); www.ftc.gov
Income Eligibility: None
$200,000 to Help Buy a Home in an Area Affected by a Base Closing
Buying a home in an area hurt by defense cutbacks can be difficult. The U.S. Department of Housing and Urban Development (HUD) offers the 238c program to help families undertake homeownership in military impacted areas. HUD insures lenders against loss on mortgage loans. These loans may be used to finance the purchase of proposed, under construction, or existing one- to four-family housing, as well as to refinance indebtedness on existing housing. (14.165 Mortgage Insurance-Homes-Military Impacted Areas 238c). For more information contact your local HUD office or check out the program online at www.hud.gov
Income Eligibility: None
| This Program is available for: | ||
| Income | : | 1000000 |
| State | : | all |
| Age | : | All |
| Subject Category | : | Housing/Real Estate |
| Money Type | : | Loan |
| Contact Information | : | For more information contact your local HUD office or check out the program online at www.hud.gov |
Congressman Pushes Gov't to Help Refinance Home Loans in Danger
Congressman Pushes Gov't to Help Refinance Home Loans in Danger
A key congressman is planning a push to expand the federal government's role in stabilizing the housing market. Barney Frank (D., Mass.), the chairman of the House Financial Services Committee, has proposed an initiative that aims to refinance as many as one million "distressed" homeowners out of high-cost loans using government assistance.
The proposal, which could cost as much as $15 billion over five years, would likely involve the federal government buying loans and then helping move borrowers into mortgages backed by the Federal Housing Administration. Certain loans, such as investment properties and those on vacation homes, wouldn't qualify.
In order to sell a loan to the government under the plan, the lender would likely be required to discount the loan to a level the borrower could repay.
Mr. Frank is working on another plan to allocate up to $20 billion in grants and loans that would allow states and municipalities to buy foreclosed or abandoned homes "at or below market value." Some of the money could be paid back to the federal government once the homes are resold.
You can read more about this at: http://online.wsj.com/article/SB120407391064395153.html?mod=googlenews_wsj
Live in Pennsylvania? Get 24 months of your mortgage or $60,000 loan!
Many are saying it's great to live in Pennsylvania! This wonderful state has a forward-thinking program to help keep people from foreclosure. HEMAP (link: http://www.phfa.org/consumers/homeowners/hemap.aspx) is the Homeowners' Emergency Mortgage Assistance Program. This program was created by Act 91 in 1983. It is the only one of its type in the U.S.A. - but hopefully other government officials will be inspired by its success. HEMAP helps people who through no fault of their own are unable to make their mortgage payments. Pennsylvania residents are eligible for help for up to 24 months or for a maximum of $60,000 loan. What a great way to help families in Pennsylvania!
Title: HEMAP (Homeowners Emergency Mortgage Assistance Program)
Description: Pennsylvania state assistance to families facing foreclosure
State: Pennsylvania
Age: All
Income: $10,000 - $1,000,000
Subject Category: Other
Money Type: Loan
Contact Info: 800-342-2397 Pennsylvania Housing Finance Agency 211 North Front Street, Harrisburg, Pennsylvania 17101-1406
Application Web Site: www.phfa.org/about/contact/telephonedirectory.aspx
Sunday, February 17, 2008
New Federal Gov't Plan to Offer Help for Foreclosures
Project Lifeline is the new trial plan that could help at-risk borrowers with all types of mortgages, not just high-cost subprime loans. The plan will involve six big home lenders and will allow overdue homeowners to suspend foreclosures for 30 days while lenders try to work out more affordable loan terms. The new plan applies to seriously delinquent homeowners, those whose mortgages are 90 days or more past due. You can read more about Project Lifeline here: http://www.npr.org/templates/story/story.php?storyId=18905411. To keep up with developments in Project Lifeline, go here: http://www.ustreas.gov/news/index1.html
