Down Payment Assistance Programs!
DOWN PAYMENT ASSISTANCE IN DOUGLAS COUNTY!!
Douglas County Housing Partnership (DCHP)
Shared Equity Program
What is it?
This is an opportunity for home ownership in Douglas County through use of "Shared Equity" with the Housing Partnership. DCHP will provide an investment of up to 20% of the purchase price to first time home buyers that currently live or work in Douglas County.
This investment will be a deferred loan which much be repaid upon sale or refinance of the home. At that time, the borrower must return the same investment percentage to DCHP based on the current fair market value.
Who is eligible?
1. First-Time Home buyers including persons that have not owned a home in the previous 3 yeas, single parents who have owned prior with a spouse, and displaced homemakers.
2. Borrowers who currently live or work within the limits of Douglas County.
3. Income limits are 120% of the Arca Median Income (AMI)
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1 person $63,850 4 person $91,200
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2 person $73,000 5 person $98,400
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3 person $82,000 6 person $105,850
What homes are eligible?
~Foreclosed Properties in the 15 designated census tract block groups. (East of I-25,
South of Highway 86, North of Plum Creek, West of highway 83)
~Maximum purchase price of $300,000
~The appraised value of the home must be at least 1% greater than the purchase price.
~Home inspections will be required and reviewed by DCHP.
Borrower Responsibility
~Attend a free CHFA-approved First Time Home Buyer Education class.
~Secure a 30 year fixed rate mortgage with a maximum 45% debt to income ratio.
~Contribute $1,000 towards the purchase.
~Occupy the home as a primary residence.
~Meet DCHP for approval, $100 application fee.
To get a current list of the homes that qualify for this 20% shared down-payment program fill out the form below with your email , phone number or both. You can also EMAIL me or call me at 303-898-9000
AURORA HOME OWNERSHIP ASSISTANCE PROGRAM (HOAP)
Denver First Time Home buyer - Aurora Home Ownership Assistance Program (HOAP)
With more than 314,000 residents, Aurora is one of the safest cities of its size in the country. Located adjacent to the state capitol, the city is the third largest in Colorado and the 58th largest in the United States. Founded in 1984, the city of Aurora's Home Ownership Assistance Program (HOAP) is dedicated to making affordable housing a realization for low to moderate income families in Aurora.
Facts about Aurora Home Ownership Assistance Program :
- Location: Must buy a property in the City of Aurora
- Where to go for more info: www.auroragov.org
- Property must be a single family home, condo, or townhome
- Borrower to receive a maximum of 5% of purchase price or $10,000, whichever is less (remember this is based on financial picture of borrower) towards down payment and all allowable HOAP closing costs
Definition of first time home buyer (HOAP): someone who has not owned a home in 3 years
- Down payment assistance money in form of 2nd Lien
- 30 year loan
- At 3% interest
- No payments made for 5 years
- Minimum Amount Down is based on buyer's ability to pay own costs of 1% towards the transaction
- No Co-Borrowers
- Can be used in conjunction with other programs e.g. FHA, FHA 203K
- Like all programs, Aurora HOAP is subject to fund availability.
Steps
- Meet with Aurora HOAP approved lender and apply for a mortgage.
- Meet with Aurora HOAP Housing Counselor (Your approved lender will facilitate all paperwork)
- Attend a mandatory first time home buyer seminar
- SHOP FOR HOUSES
Income qualifications guidelines apply and are subject to change without notice
Maximum Annual Income:
- FAMILY of 1 $42,500
- FAMILY of 2 $48,600
- FAMILY of 3 $54,650
- FAMILY of 4 $60,700
- FAMILY of 5 $65,600
- FAMILY of 6 $70,450
Like all loan programs, Aurora HOAP's program can be confusing to most all Colorado buyers.
Your lender and I will help you sort through the details and compare this loan offering with the other choices that may be available to you. The goal is to find what available loans are best suited to your financial ability to purchase a home and for long term ownership of your home. If you have questions or would like more information in determining eligibility, don't hesitate to contact us. You can click here to EMAIL me at or call 303-898-9000. You can also fill out the form below and we will contact you shortly!
CHFA DOWN PAYMENT ASSISTANT PROGRAMS
CHFA
One of the more popular programs is Colorado Housing and Finance Authority (CHFA pronounced Chafa). CHFA has been in existence since 1973 with the mission to finance the places where people live and work throughout Colorado.
CHFA offers various programs for first time home buyers, non-first time home buyers as well as programs for people with disabilities or who have suffered a hardship.
The two most popular programs (among our clients) are the CHFA First Step (click here to view income restrictions for First Step)and the CHFA Home Opener. Both programs have income restrictions (click here to view income restrictions for Home Opener) based on the number of people in the household.
While CHFA Home Opener allows for a borrower to make more money, CHFA First Step has lower interest rates.
For those first time home buyers who need help with their down payment or closing costs, CHFA provides a second loan in the amount of 3% of the loan amount which can go towards the down payment OR closing costs. This loan is a 30 year fixed loan at the same rate as the first loan. Notice I didn't say 3% of the purchase price. It's complicated so see the below example:
How CHFA works:
Example based on a Purchase price = $150,000
Minimum Down payment (3.5% of purchase price)= $5250
BASE loan (purchase price minus down payment) = $144,750
Up front mortgage insurance premium (UFMIP, 1% of base loan amount) = $1447.50
TOTAL loan amount (base loan plus UFMIP)= $146,197 (cents are rounded off)
CHFA down payment assistance (3% of total loan amount) = $4385.91
Remainder of down payment = $864.09 (however, CHFA minimum investment from buyers is $1000. The difference of $190.18 can go towards any closing costs not covered by the seller or principal reduction on the loan)
CHFA unlike the majority of down payment assistance programs is the long term mortgage servicer, which simply means that after closing, the borrower will make payments directly to CHFA. Because CHFA is lending their money, they set the interest rates. Click here to reference all CHFA program rates. You will notice that the rates are higher than market rates, this is the main downside to utilizing CHFA.
Quick CHFA Facts
* CHFA provides up to 3% of the loan amount towards the down payment or closing costs.
* First time home buyer is defined as anyone who has not owned a home in 3 years
* Must attend a first time home buyer seminar
* Minimum investment is $1000
* No Co-signers
* Must be a primary Residence
* CHFA rates are higher
* When making an offer do not set earnest money higher than $1000
* NOT all banks or lenders can offer a CHFA financing. At this time, mortgage brokers are not approved with CHFA
Main Reasons to Pursue a CHFA Loan
* Borrower does not have 3.5% (of purchase price) for a down payment or the ability to receive 3.5% as a gift from a family member
* Borrowers credit score is below 640 (CHFA lends down to 580 to eligible borrowers).
Like all loan programs, CHFA can be confusing to most all Colorado buyers. If you have questions or would like more information in determining eligibility, don't hesitate to contact us.
Thank you to Jocelyn at Limetree Lending for this fantastic information!
If you have questions or would like more information in determining eligibility, don't hesitate to contact us. You can EMAIL me at any time or call 303-898-9000 or fill out the form below and we will contact you shortly!
FHA Guidlines and Assistance
Need a Quick Reference Guide for FHA Loans?
Here you go:
Down Payment and Seller Concessions
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3.5% down
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A relative can either GIVE the money to the borrower or LEND the money to the borrower
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6% seller concessions are allowed
Declining Market Restrictions
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FHA does NOT have declining market restrictions
Borrower Eligibility
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NOT limited to first time homebuyers
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NO income limitations
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Non-occupying co-borrowers are allowed (occupying borrower does not need any income to qualify)
Occupancy Requirements
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Primary residences for maximum financing
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2, 3, and 4 units properties are allowed, as long as one unit is occupied by the borrower
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Two FHA loans to the same borrower are OK, but they need 25% equity in the first property
Maximum Loan Size
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Varies by county
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The maximum loan size is $406,250 in Metro-Denver counties; Boulder County is $460,000
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Loan size is higher for 2, 3, and 4 family units
Credit Requirements
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Each lender has their own minimum credit score – typically 640
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Non-traditional credit is OK (need 3 trade lines verified for the past 12 months)
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Bankruptcy – Chapter 7 is 2 years from the discharge date, Chapter 13 is 1 year of timely payments
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Foreclosure – 3 years from the recording date of the Public Trustee’s Deed
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Short Sales – no waiting period if the mortgage was not delinquent at the time of the short sale, 3 years if the mortgage was delinquent – (other restrictions may apply – call us for details)
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Collection accounts do NOT have to be paid
Mortgage Insurance
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1% up-front mortgage insurance premium is required, but it can be financed into the loan
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Monthly mortgage insurance premium is based on a 0.90% annual rate (for most FHA loans)
Appraisals
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They are NOT any more restrictive than conventional appraisals (safety issues must be addressed)
If you would like to see how this loan program can work for you, please either click here to EMAIL me or if you just have questions or need more detailed information about the FHA process, please call me at:
303-898-9000
ADAMS COUNTYDOWN PAYMENT ASSISTANCE PROGRAM
There are still many down payment assistance options for Denver Colorado first time home buyers.
Adams County Housing Authority is a loan from local grant funds. Funds may only be used by first time home buyers to purchase homes within Adams County. Funds are available only on a first come first serve basis. To reserve funds, the following steps must be completed:
1. Qualify with an Adams County approved lender to determine eligibility
2. Attend a first time home buyer class call to reserve your space today 303-227-2089
3. Meet with an Adams County counselor
Adams county down payment assistance provides grant awards up to $7000 toward allowable down payment and/or closing costs. The grant award provided to the first time home buyer is in the form of a second mortgage with no monthly repayment. What's even better is the loan balance is graced away at 10% per year for 10 years.
Income qualifications guidelines apply and are subject to change without notice
Maximum Annual Income
FAMILY of 1 $42,500
FAMILY of 2 $48,600
FAMILY of 3 $54,650
FAMILY of 4 $60,700
FAMILY of 5 $65,600
FAMILY of 6 $70,450
FAMILY of 7 $75,300
FAMILY of 8 $80,150
Like all loan programs, Adams County down payment assistance can be confusing to most all Colorado buyers. If you have questions or would like more information in determining eligibility, don't hesitate to contact me. You can click here to EMAIL me or feel free to call
303-898-9000
We thank Jocelyn at Limetree Lending a subsidiary of Universal Lending for providing us with some of our information on down payment assistance programs.
COLORADO HOUSING AND ASSISTANCE CORPORATION
Denver County MCC
Tthe Colorado Housing Assistance Corporation (CHAC) Program for first time home buyers:
There are still many down payment assistance options for Denver Colorado first time home buyers.
CHAC is a private nonprofit agency founded in 1982, offering loan programs and supportive financial counseling to help Colorado families turn dreams into reality.
Facts about Colorado Housing Assistance Corporation
* Location: Must buy a property in Colorado
* Where to go for more info: www.coloradohousingassistance.
* FUNDS ARE LIMITED
* Borrower must be a first time home buyer
o-First time home buyer is someone that has not owned a home in 3 or more years
o-Single parent is considered a first time homebuyer if they do not currently own a home
* Borrower Cash Investment - a minimum of $1,000.00 of their own funds (not a gift)
* No Minimum Credit Score
* No Co-Borrowers
* Minimum Cash Investment of $1000
* Can be used in conjunction with the FHA 203K loan
* CHAC programs may vary depending on the geographic location of the property for the latest information go to website www.coloradohousingassistance.org
Steps
1. Meet with CHAC approved lender and apply for a mortgage.
a. To apply online: www.limetreelending.com
2. Your approved lender will facilitate all paperwork
3. Attend a first time home buyer class
4. SHOP FOR HOUSES
5. Attend a CHAC meeting by phone prior to closing
Income qualifications guidelines apply and are subject to change without notice
Maximum Annual Income
FAMILY of 1 $42,500
FAMILY of 2 $48,600
FAMILY of 3 $54,650
FAMILY of 4 $60,700
FAMILY of 5 $65,600
FAMILY of 6 $70,450
Like all loan programs, CHAC's program can be confusing to most all Colorado buyers. If you have questions or would like more information in determining eligibility, don't hesitate to contact us. You can click here to EMAIL ME or you can reach me directly by calling 303-898-9000
There are still many down payment assistance options for Denver Colorado first time home buyers.
Denver County's Mortgage Credit Certificate (MCC) Program is unique from other programs in the way that it is a federal income tax credit rather than a grant or loan.
The Denver MCC program was launched in April of 2009 and will expire in December of 2011 or as allocation remains available. This program allows qualifying borrowers to receive an annual federal income tax credit = 20% of the annual interest they pay on their mortgage loan.
Facts Denver County MCC Program:
* Location: Must buy a property in city and county of Denver
* Where to go for more info: www.milehigh.com/housing
* Borrower must be a first time home buyer
o first time home buyer is someone that has not owned a home in 3 or more years
Steps
1. Meet with Denver Count MCC approved lender and apply for a mortgage.
2. Your approved lender will facilitate all paperwork
3. SHOP FOR HOUSES
Income qualifications guidelines apply and are subject to change without notice
Maximum Annual Income
FAMILY of 2 of Fewer $88,600
FAMILY of 3 or more $101,900
MAXIMUM HOME COST = $354,900
Visit website for income and maximum home cost in targeted areas
www.milehigh.com/housing
Like all loan programs, Denver County's MCC program can be confusing to most all Colorado buyers. If you have questions or would like more information in determining eligibility, don't hesitate to contact You can EMAIL me by clicking here or calling me at 303-898-9000
We have access to many other down payment programs in other Metro counties!
Ask us about these! Remember “We do this every day!”
Fill out the form below for more information about this and other programs!