We officially have another great opportunity for buyers needing help with their down payment! Thanks to help from the City of Bend, aspiring homeowners now have an incredible opportunity to turn their dreams into reality through the First Time Homebuyer Down Payment Assistance Program (DPA).
Below is some of the finer details- but for the shortened version- Bend Mortgage Brokers does your mortgage like normal, with our great rates and service. But instead of needing to come in with a down payment, we partner with the city of Bend to and NeighborImpact for them to give you a down payment loan! No higher than normal first mortgage rates like most DPA programs. This is a killer opportunity that you now have.
This is secured funding specifically tailored to provide down payment assistance loans for eligible first-time homebuyers looking to purchase homes within the City of Bend. If you’ve been eyeing that perfect property but struggling to gather the necessary funds for a down payment, this program might just be the key to unlock the door to homeownership for you.
So, what exactly does this program offer, and who qualifies for it?
Who Qualifies?
To be eligible for this program, you must meet the following criteria:
- First-Time Buyer: You must be a first-time homebuyer, defined as households that have not owned real property in the past 3 years.
- Income: Your annual income must fall between 80% and 120% of the Area Median Income (AMI) for Bend.
- Debt-to-Income Ratio: Your back-end debt ratio cannot exceed 55%, calculated as primary housing expenses (PITI) plus all other monthly debt service.
- Down Payment: You are required to make a minimum investment of 1% from your own funds towards the down payment and/or closing costs.
- Credit Worthiness: You must demonstrate sufficient income and creditworthiness to qualify for primary financing from a conventional lender.
- Required Training: Completion of eight hours of homebuyer education is mandatory before closing on the DPA loan.
- Owner-Occupancy: You must intend to occupy the purchased property as your primary residence.
What Does the Program Offer?
The DPA loan program provides down payment assistance of up to 20% of the sales price, with a maximum loan term of 30 years. Repayments begin immediately after closing, with a fully amortizing loan payment consisting of principal and interest paid monthly. Here are some key details:
- Loan Types: DPA loans can be used in conjunction with conventional or government fixed-rate loans or adjustable-rate loans, excluding interest-only loans.
- Maximum Loan: The maximum loan amount is capped at 20% of the sales price.
- Interest Rate: Interest rates are set by the Lending Committee and will not exceed 2% of the rate of the first mortgage.
- Security: The loan is secured by a promissory note and deed of trust.
- Loan to Value: Financing cannot exceed 100% of the purchase price, although closing costs can be financed.
How to Get Started?
Ready to take the first step towards homeownership? Simply email Matt@BendMortgageBrokers.com or call/ text me at 541-972-8616. I’ll guide you through the process and provide all the information you need to get started.
Take advantage of this incredible opportunity and start your journey towards homeownership today!
