So you have decided you really want to buy a home but don’t have money for a down payment? Did you know there are down payment assistance programs? Here are some of the programs that can help you with your down payment:
MN Housing – this is the main program in MN. Depending on your income, you can get up to $8000 in assistance that does not have to be paid back until you sell your home. There also isn’t any interest charged on this money! If your income is too high to qualify for the deferred program, you can get up to $15,000 in assistance but you have to pay it back monthly over the first 1o years you live in the home.
Dakota County CDA – this program is in Dakota County only, but you can get up to $8500 in assistance. They also offer another program tied to mortgages available through your lender with assistance up to $5000.
Community Keys – this program is available in areas of North Minneapolis and St Paul. This gives you up to $15,000 in down payment assistance to be used towards your down payment and closing costs. This is done in two loans for the same amount – one does not require payments and is paid back when you sell the home, the other has a small amount of interest charged and it’s amortized over 15 yrs.
Scott County CDA – Scott County offers a grant of up to $4000 that does not have to be paid back. You do need to participate in their Homebuyer Club and attend their first time homebuyer workshop
Edina – Edina has a program called Come Home to Edina that offers down payment assistance depending on your income.
Woodbury – The city of Woodbury has a program that offers up to $25,000 in assistance. The amount you get depends on your income and your debt to income. The money can be used for down payment and closing costs.
These programs are all available to first time buyers that meet the program requirements. Most have income limits and some have purchase price limits too. If your loan officer is not aware of these programs, give me a call and I can help you. Not every lender will offer all the programs. Most do require a first time homebuyer class – some need you to take the class in person, some allow you to take the class online.
With interest rates as low as they are now, it’s a great time to buy!! You may be able to own a home for less than you are paying in rent!
Leslie Vanderwerf, NMLS ID#335509, AMEC Home Loans, An Equal Housing Lender, NMLS#150953 – Email – Website
