If you’re a first time home buyer finding the funds you need for a downpayment can seem like an impossible feat. That’s why the VHDA offers Down Payment Assistance grants to eligible first-time homebuyers.
About VHDA’s Down Payment Grant:
-Qualified first-time homebuyers may receive a percentage of the purchase price to help with the down payment.
-Maximum grant will be 3 – 3.5% of the purchase price, based on the down payment required for the eligible VHDA loan.
-Buyers must have household incomes at or below program limits.
Guidelines & Procedures
-Down Payment Assistance Grant may be used with eligible VHDA loans only.
-Grant funds may not be used in combination with other down payment assistance resources (including FHA Plus).
-Down Payment Assistance Grant has no repayment.
-VHDA’s eligible first mortgage must be locked on or after the program implementation date.
-The eligible first mortgage must be locked prior to reserving the grant funds.
-All borrowers receiving this grant are eligible for a Mortgage Credit Certificate (MCC). Borrowers must apply for a MCC through an approved MCC lender and receive an MCC commitment / approval prior to closing. (An MCC is a dollar-for-dollar credit against your federal income tax liability. For information about MCCs, visit vhda.com/MCC.)
-Other program requirements may apply.
LIMITED TIME ONLY
VHDA is currently accepting reservations for the DPA grant. Prior to reserving DPA Grant funds, the VHDA 1st mortgage must be locked. DPA Grant funds are available only for eligible VHDA loans locked on or after March 12, 2015. Due to the limited availability of resources existing locks may not be cancelled and re-locked.
VHDA has set-aside $5 million for the Down Payment Assistance Grant program. Because these resources are limited, they will be made available on a first-come, first-serve basis. Once funds have been exhausted there will be no additional allocation. Each request for DPA grant funds must be allocated by VHDA no later than June 30, 2015.
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