One of the main challenges for buying your first house is sometimes acquiring the down payment for a house. What many don’t know is that a program is available to help the Minnesota first time homebuyers get down payment assistance.
Aside from federal government help that first-time homebuyers get, there are agencies from many communities, county, and the state that offer assistance with down payment, which have distinct qualification requirements with regards to assets, location, job, credit, and income.
There are also government down payment assistance grants, first time home buyers grants and other forms of assistance loans available. Below is a list of a number of assistance programs to help first-time home buyers with their down payment.
Anoka County Down Payment Assistance Program:
The Anoka County Community Action Program Inc. of the Anoka County is among that offers down payment assistance program. Their program is aimed at helping first-time homebuyers to buy a house by offering $1,000 to $10,000 in assistance. This program can be availed by first time home buyers who are from low to moderate income index with a home price of $276,683 in Anoka County.
Plymouth, MN – First Time Homebuyer Program:
Plymouth, Minnesota can offer assistance fund for down payment and closing cost of up to $25,000 for first time home buyers who are low to moderate income earners when they buy a house in Plymouth. The assistance is given in the form of a no-interest, deferred payment 30-year loan available through a subordinated lien placed on the purchased house after the first mortgage is documented. If the house is sold or is not being the resided for the 30 years of tenure, repayment will be required. The assistance program is being administered by the City of Plymouth Housing and Redevelopment Authority and funds are subject to availability.
Home Help is a federally subsidized loan for first time home buyers who are qualified with $7,000 with no interest for down payment and closing costs. 70% of the loan will be forgiven after 6 years. The down payment assistance program’s aim is to make buying a home more attainable by decreasing the housing debt ratio of up to 30%.
Homeownership Assistance Fund (HAF):
This assistance program will provide qualified first-time home buyers in a zero-interest, deferred loan of up to $5,000 for down payment and closing costs. For those who want to avail of the HAF must communicate with a Minnesota Housing participating lender before signing a purchase agreement. The participating lenders will decide eligibility, which includes parameters like households earning from 60 – 80 percent or less of area median income, depending on other qualifications.
Contact Minnesota Down Payment Assistance if you are a first time home buyer in Minnesota.