One of the most unknown benefits for potential Colorado homebuyers in today’s real estate market are the multitude of Down-Payment Assistance (DPA) programs available, even for repeat homebuyers, and even homebuyers who plan to keep another home as a rental. By far one of the best down payment assistance programs available is the National Homebuyer’s Fund, or NHF.
Currently NHF is providing a grant of 5% (grant, meaning you NEVER have to pay it back!) of the initial mortgage loan amount to be used by an eligible Colorado homebuyer for their down-payment and/or closing-costs and pre-paid expenses. This grant has no strings or rubber-bands attached, unlike some other DPA programs available to Colorado’s prospective homebuyers, NHF’s grant does not require any sort of repayment, nor is any sort of future repayment expected when the buyer ends up selling the home, and is provided to the home-buyer at closing.
What's great is it allows for buyers to use Conventional OR FHA loans.
Purchase price: $200,000
– 3.5% down payment: $7,000
= Base loan amount: $193,000
+ 1.75% MIP $3,377
= Total loan amount $196,377
5% grant = $9,818.85
WOW! You never have to pay this back! In this scenario you would have enough to pay the $7,000 down payment and have $2,218.85 left over to apply towards your closing costs!
Email me to see if you qualify!