Make Less Than $99,000? Take Advantage of DC Bond Loans

Yesterday I went to a course about the DC Bond program, and learned more details about DC's initiatives to enable homeowners. I've blogged before about HPAP (Housing Purchase Assistance Program) which is for low income buyers, and this can be used in conjunction with HPAP but has higher income levels. First time home buyers who make less than 99k/year (200k for couple) can purchase anywhere in DC at a great rate and the DC Bond Program grants the down payment of 3% that FHA requires. If you make over 100k a year you can purchase with the DC Bond Program only in the targeted areas (lower income neighborhoods). You would get the loan through a participating lender (Prosperity Mortgage, for example) and then write a contract where the seller pays all closing costs up to 6% of the purchase price. The DC Bond loan with down payment granted has a rate of 6.27% with 2 points so closing costs would be around 5%, and this can all be paid for by the seller. After Jan 1, 2009 the FHA down payment goes from 3% to 3.5% so borrowers would have to come up with .5% of the price of their property which is much more do-able than 3.5%! Contact me or Ryan Dailey at Prosperity Mortgage (202) 363-1800 for more details or to pre-qualify for a loan.