Myths That Down Payment Assistance Is Only For Very Low Cost Homes

Dated: 02/12/2019

Views: 102

Image title


 Ask the questions and educate yourself

Don’t let preconceived ideas about programs throw you off. Down payment programs aren’t just for narrowly defined homebuyers and “targeted” neighborhoods of very inexpensive homes. In fact, homes in any neighborhood may be eligible with sales price limits typically ranging from $200,000 to over $700,000 in high-cost markets. In a report we did with ATTOM Data/RealtyTrac, we found that 87 percent of homes are eligible for one or more programs.

Some homebuyer programs can have income limits of up to 120 percent of the area’s median income (AMI) and higher, which can amount to well over six-figure incomes in countless markets across the country. In addition, some may offer tiered assistance dollars at varying income levels so higher incomes might yield lower assistance amounts, but higher income isn’t an automatic disqualifier. Income limits are almost always based on household size, so limits for a family of five are significantly higher than for a single person. 

 Question: Is it difficult to qualify for homebuyer programs.
Truth: There are many options and opportunities. The only difficult task used to be identifying what programs might be a fit for your situation. Our search tool makes it simple for you to search your options. The key is doing research early in the home buying process as well as reviewing the application criteria.
To qualify for an assistance program, both the homebuyer and the property must meet certain criteria, which vary by program. Standard criteria include property location, type of home, sales price, household income, and homebuyer education certifications. There are often additional benefits, or even entirely separate programs, for educators, protectors, healthcare workers, veterans and households with disabled members.
Homebuyers must also demonstrate that they are financially responsible. Assistance programs have credit score thresholds and cash reserve requirements. Most programs will require a little money down from the homebuyer, as well as homebuyer education, especially for first-time homebuyers, to ensure the long-term homeownership success of each new buyer.

Blog author image

Manuel Quiros

My name is Manny Quiros, I’m a real estate professional in the “Disney Area”, I have lived in this area since 1999 and have called this area my home and place my wife and I to raise our three wo....

Latest Blog Posts

Hone Elements Worth Keeping

Whether you're looking for a home with character, or interested in selling one, I'm here to help! Send me a message to get started today. #thehelpfulagent #worthkeeping #houseexpert #homestyle

Read More

Top Repairs To Tackle Before Listing Your Home

When you put your home on the market, you obviously want to get as much as you can for the property. A lot of things can affect your home’s value, including many items that are largely out of your

Read More

Whats Trending In Outdoor Kitchens

Outdoor kitchens have been popular for years. Not only do they give you an excuse to enjoy beautiful weather outdoors but they’re also great for entertaining. Having a nice outdoor kitchen can

Read More

True Or False

More than 6 in 10 Americans think they have to put down 20% to buy a home -- and that's just not true. Message me today to discuss all your homebuying options! #houseexpert #home #thehelpfulagent

Read More