they say if u buy this particular home the buyer may qualify for a 20k grant..u think this is true?
2006-12-29 12:07:22 · 5 answers · asked by junni 1 in Business & Finance ➔ Renting & Real Estate
Maybe - government grants are around. Realtors sometimes will team up with a lender who has access to some grant money, and add a sign to the for sale sign indicating that the house is in a designated revitalization area.
Some grants are qualified for by the buyer's family income, some are based upon the location of the house. If it has the sign, then probably you can contact the loan officer involved to find out.
True government grant don't require that the price of the house be increased to cover it - I say this because there are many programs out ther now to legally "launder" seller contributions for the buyer. I don't like them as they are bad for the real estate industry as a whole. Here's what they look like: On FHA loans, the seller is allowed by HUD to contribute 6% toward the buyer's closing expenses, but the buyer must contribute 3% of his own money. That 3% cannot be covered by the seller - it can be covered by a parent (gift letter needed) or by a non-profit organization (here's where the laundry happens). A bunch of "non-profits" have sprung up that will "give" the funds to a buyer to buy the house. No repayment on the part of the buyer is needed. The catch is that they'll only do it if the seller will "give" that amount plus a transaction fee to the "non-profit" group. For the seller to do this, the buyer must increase the price of the house to cover it. HUD and Fannie Mae are cracking down on the over-inflated appraisals neede to accomplish this type of deal. I'm glad. When people with zero savings get loans for 110% of the true value of a home, foreclosures are sure to rise.
2006-12-29 16:51:14 · answer #1 · answered by teran_realtor 7 · 0⤊ 0⤋
There are all kinds of grants out there. Mortgage lenders offer grants usually through state and federal funding. Check with your mortgage lender or hud.gov website. Your mortgage lender usually has an idea of which grants you qualify for as well.
2006-12-29 15:24:13 · answer #2 · answered by amy23 3 · 0⤊ 0⤋
it is the strangest situation. usa supplies numerous funds to many countries, which contain Germany and additionally Sri Lanka. She's additionally given billions and billions over the years to the Arab international. And yet in this website, the only u . s . a . that's EVER suggested in this regard, is Israel. a minimum of with Israel, it is going to a democracy. So close up and be very proud that your u . s . a . aids the only democratic state interior the full middle East!
2016-12-31 06:33:12 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Nope. Not a true grant.
2006-12-29 12:45:05 · answer #4 · answered by David 3 · 0⤊ 0⤋
Not hard at all keep trying to get one good luck
2006-12-29 13:10:35 · answer #5 · answered by pattibcacl 6 · 0⤊ 0⤋