Are the any government grants out there to help a low income family buy a home?

Question

Are there any government grants out there to help a low income family buy a home. I'm a first time home buyer and I can never seem to same any money for a down payment. The cost of the home I would like to buy is $137,000, land, septic and all. Its perfect in a quiet neighborhood and all. Thanks.

Answer 1

Look into down payment assistance.
Http://www.quickdown.com.

I think the way it works is that you contact a lender and they work with the company to get a charity to donate the downpayment assistance.

Usually requires cooperation from the seller.

Answer 2

BUY A HOME WITH GOVERNMENT GRANTS

Late night television advertisements usually suggest Federal Government grants. You may also watch some auctions promising a Ferrari for $500 or get a home for $1000. There are some ads which promise free purchases. Do you think it is real? Will the state provide you the money?

You can get the grant money from the government if you are going to build a home with a low income residence. You may also get grant for renovating a 100 year old building in your neighborhood for urban renovation.

I think you better head to http://govgrantsguide.com to read more.

Answer 3

There are tons of programs out there. The question isn't whether you can get help, rather, it is which of the many options is best for you.

Contact your state housing authority. Most have programs. Many large cities have programs, too, but if you're talking septic system, you're probably not in a large city.

Contact your bank. Most lenders have programs. In order to please the regulators, lenders must show they have tried hard to get lower income borrowers into homes.

Look on the Fannie Mae, Freddie Mac, and FHA web sites. They will each have information about affordable housing and down payment assistance.

Look up Nehemiah Loans (www.getdownpayment.com). They are a "charity" devoted to helping lower income homebuyers with downpayment assistance.

Contact your local United Way chapter. Most can guide you to local programs that help first time homebuyers.

Good luck!

Answer 4

In California you can get a State/City loan, where the CalHFA or state loan offers very low rates on a 30 or 35 year fixed note and the City (if the city the property is located in has this program) has a silent second to cover the down payment and closing costs for a low rate as well. If you are in California, look up http://www.calhfa.ca.gov

Answer 5

Check with your city's housing authority for a program called I.D.A (Individual Development Assistance). It is a grant program that does not require you to pay back the grant nor is it considered a second lien on your property. Basically, it is a match program for every $1 you save it's matched by $4. There is no catch with the program other than it takes a couple of months to complete. Every city is different on the maximum dollar amount they will match. It is awesome program for low income families.

Answer 6

Contact a couple of local realtors, there are 5 - 6 plans for first time low income purchasers. They should be able to put you in contact with someone who can help you. There are lenders who specialize in those kinds of loans.

Answer 7

I don't know where you live, but if it is in a rural area, the government had rural development grants for individuals to purchase a house.
http://www.rurdev.usda.gov/

FHA also has first time homeowner grants too, and you get those through a participating bank.

Good Luck

Answer 8

I suggest you check out non profits, who are the recipients of most housing grants. Check out Habitat for Humanity.

Also visit the Nehemiah Corp as they have a downpayment assistance program for qualified lenders http://www.getdownpayment.com/

The Housing and Urban Development in their Grants Available page makes it clear that they do not provide grants to individuals -- hence no grants for a person to buy a home http://www.hud.gov/grants/index.cfm

"While HUD does not offer direct grants or loans to individuals, we do work through local governments and non-profit organizations to make financial assistance and counseling available."

You can go to the Catalog of Federal Domestic Assistance (CFDA) http://www.cfda.gov and Grants.gov http://www.grants.gov - these are two FREE sites created by the federal government to provide transparency and information on grants. Browse through the listings and see if you can find any grant that would support your purposes.

Even if you buy books on "how to get grants" or list that supposedly has information on grants -- all of them are mere rehash of what CFDA has, albeit packaged differently.

Note though that these grants generally support non-profit organizations, intermediary lending institutions, and state and local governments. Most of the federal grants are given to specific target groups with specific requirements (e.g. minority business owners involved in transportation related contracts emanating from DOT - Grant#20.905 Disadvantaged Business Enterprises Short Term Lending Program. Individuals especially for personal purposes are not eligible for federal grants.

Grants are also often given to non profit groups or organizations involved in training or other similar activities (grant 59.043 Women's Business Ownership Assistance that are given to those who will create women's business center that will train women entrepreneurs

Answer 9

The best way to find out is to search online and compare the companies material and criteria. Under my profile finance there are some strategies you can put in place during your application procedures and resources.