we were attempting to use ameridream to help us purchase our first home. well, no seller wants to use it because they have to pay that out of pocket. are there any grants or downpayment assistance programs which don't require the seller to contribute anything?
2007-03-16 14:35:27 · 4 answers · asked by nrsldy04 3 in Business & Finance ➔ Renting & Real Estate
Yes FHLA loans. Google FHLA and find the office nearest you. Dial information and ask for Har-bell in Baltimore, Maryland. If you don't live here they should be able to provide you with a number of someone in the state in which you reside.
2007-03-16 14:44:21 · answer #1 · answered by manny d 3 · 0⤊ 0⤋
Sure, they're called Grants. That's what FHA had in mind when they first allowed "down-payment" assistance programs. The legal money laundering that you tried to use is on it's way out, and with good cause.
True down payment assistance is money that a non-profit or government GIVES to the buyer to HELP them get into the house. It can be used for down payment and some closing expenses. Tons of "non-profit" companies sprung up to take advantage of this, and have caused alot of the foreclosures we're seeing now.
Here's why: True grant - Buy house worth $100k, for $100k. Grant for $5k to help with down and cc. In a few years, you have equity.
Legal money laundering - Buy a house worth $100k for $105,375. Need to pay overprice, because the seller has to "give" a "donation" of $5k plus $375 fee to the non-profit so they will "give" $5k to buyer. In a few years, buyer has a house worth what he owes.
The FBI has been getting rid of many of these companies already, and the rules will soon change to get rid of the rest.
Talk to your Realtor about what lenders they know of that have access to TRUE grant money. NACA is OK.
2007-03-16 15:54:48 · answer #2 · answered by teran_realtor 7 · 0⤊ 0⤋
There are VA loans if you are a vet.
I'm sure there are others available. You would have to go to a lending co. to find out what your options are.
This isn't really a great idea, especially right now in this market. Be sure that you can afford the payment and/or the real estate will appreciate in value giving you some equity.
2007-03-16 14:45:26 · answer #3 · answered by SUSAN K 3 · 0⤊ 0⤋
HUD has block grants for "blighted" areas. I don't know if your house qualifies but if it does you can get downpayment assistance. You might also want to check out www.naca.com they do their own mortgages. They are a non-profit housing advocacy group.
2007-03-16 15:49:21 · answer #4 · answered by Anonymous · 0⤊ 0⤋