May 2009 - edited to note that the Home in Five program is currently without funds. In addition, many down payment assistance programs have been stopped by the Congressional Economic Recovery program of fall 2008.
One of the provisions of the housing stimulus package kills AmeriDream by doing away with the federal law loophole that allowed sellers to make buyers' down payments. With that program on the chopping block, what's left for first time buyers with good credit and a good job history but little ready cash?
Maricopa County's Home in Five program might be just the thing for these cash-strapped first timers. The County has just released $3.45 million in funding for their program, which gives buyers a 5% gift for their down payment and closing costs, and provides a fixed-rate, 30-year mortgage at a very respectable 6.59% interest rate. Think of that! Your down payment is a gift. Your closing costs are a gift. You never pay the money back!
Want to use this program? Act fast. The money is released several times a year by the county, and it always goes fast. Funds are available on a first-come, first-served basis. Update July 31, the money is gone. But the program will probably get more money later in the year, so keep reading.
There are income limits and purchase price limits to be aware of (see below). Buyers must have an executed purchase contract to be eligible for the money. Your purchase must be complete by December 15, 2008.
You can find all the info you need at the County's Home in Five website. You can talk to a lender experienced in handling these loans by calling one of my preferred lenders, Jeannie Bolger of Suburban Mortgage, at (602) 216-2300 ext 115.
Income Limits for Eligible Borrowers
|Two or fewer||$64,524||$74,203|
|Three or more||$74,203||$77,542|
Purchase Price Limits
New or Existing
First time buyers - Don't miss out! Home in Five is a super way to take advantage of the current buyers' market in the metro Phoenix area. Want more advice for your unique situation? Please feel free to call or email me. We're in a great buyers' market but that doesn't mean everyone should buy now. I can help you decide if it's the right time for YOU to buy.