Home in 5 Down Payment Assistance

One of the toughest elements for some home buyers is coming up with the money for a down payment.  Today’s Arizona mortgage market offers few $0 down payment loans (VA Mortgage and USDA Mortgage only) and limited options for down payment assistance.  The Home in 5 program is designed to help buyers purchase an Arizona home by providing grant money to be used for down payment and/or to pay for some or all of their closing costs.

The program has a few basic requirements each buyer must meet.  I want to share a few of the Home in 5 guidelines to help you understand how the program works and so you can see if this is something that may assist you.

Home in 5 Basic Guidelines:

1. Buyer must use an FHA loan, VA loan or USDA loan in conjunction with Home in 5
2. Buyer must have an overall debt to income ratio of 45% or less
3. Buyer must attend home buyer education class
4. Buyer on the loan application may not make more than $88,430 per year (gross income)
5. Borrower must be a permanent US citizen
6. Buyer must purchase home as a primary residence
7. Single family homes, town homes, condos and 1-4 unit properties are eligible
8. Buyer does NOT need to be a first time home buyer
9. The grant money is not required to be paid back
10. Buyer must have a 640 credit score
11. Buyer cannot purchase a home for more than $300,000

How Much Money Does Home in 5 Provide?

A buyer using the Home in 5 program is eligible for a grant equal to 5% of the loan amount they are borrowing to purchase their new primary residence.   This money is provided by the Home in 5 program and is wired directly to the Title company that is managing the buyer’s purchase prior to closing.  It is really a very simple process for eligible and qualified buyers.  The buyer’s Phoenix area mortgage company is required to work with the Home in 5 program to help facilitate and process and the application for the grant.

Many down payment assistance programs are time-consuming and can cause delays in the overall home buying process.  Home in 5 is a very efficient process that can be utilized within a typical 30 day close of escrow period.

There are only a handful of mortgage lenders in Maricopa County that offer this program and The HOUSE Team is one of them! If you have any questions on how the Home in 5 program can help you please call or email us today!

By Jeremy House
Google

 

Related posts:

The following two tabs change content below.
Jeremy is the Founder of The HOUSE Team and a Sr. Loan Officer/Branch Manager with PrimeLending. Over the past several years he has ranked in the top 1% of all loan officers nationwide and one of the top 200 loan officers in America. In the mortgage industry, the devil is in the details. Jeremy prides himself on being a student and an expert when it comes to everything mortgage related.

Latest posts by Jeremy House (see all)

Speak Your Mind

*