The Texas Department of Housing and Community Affairs (TDHCA) has announced that they are releasing two new programs, that help with the assistance of a first-time home owners down payment!!
The two new programs are the Mortgage Advantage Program (up to $7,000) and the 90-Day Payment Assistance Program (up to $6,000).
There are several differences between the two, but the biggest similarity is that these are 0% interest loans if repaid during the time limit of 120 days for the Mortgage Advantage Program and 90 days with the 90-Day Payment Assistance Program. Yes, 0%!!
Here is a great chart that gives you more specifics to compare them side by side.
Another thing is that if you can't or don't want to pay back these "loans" within the time frames allotted, each program allows a slow payback option. The Mortgage Advantage Program allows you a repayment of 2 years at 10%. Yes, 10%. They have to make money to go back into the program somehow. The 90-Day Payment Assistance Program allows you a repayment of 5 years at 7%.
As you noticed, neither program allows the full $8,000 that you might be entitled to. This still allows you to have a little extra cash in your pocket after closing for some new appliances, furniture, or just to stash away for a rainy day.
Remember, you only have until December 1, 2009 to take advantage of this Tax Credit and these programs, so if you're on the fence, there are 8000 reasons why you should jump!!!
**Are You Packed Yet?**
Donna Harris, REALTOR®
RE/MAX Austin Skyline
www.DonnaHomes.com
Donna@DonnaHomes.com
Austin, TX and the surrounding areas of Lakeway, Bee Cave, Westlake Hills, Cedar Park, Round Rock, Spicewood, Circle-C, Steiner Ranch, and everywhere in between... Whether you're buying or selling, I'll be with you through the entire process.
Donna,
Great information, thanks for sharing. Should be a big help to many buyers in our area.
Richard, I hope so. I spoke with Tom Burris today, and he said that Wells Fargo said they will not buy loans with these second liens on them... I'm wondering how much more backlash there will be from other lenders...
Good info. I never heard about this. In fact, I was told last week that no one was offering any help like this so I am glad to hear someone is in fact doing something to help.
Wells Fargo doesn't surprise me. That is why I don't bank with them. What they should say is that they will consider it if the person can still afford their mortgage payment and this other debt. To just say flat out no is ignorant and shows they don't care about the economy if you ask me.
Cheri, You've got a point!
This is why I don't research. I just rely on your blogs. ;) Grabbing food item.
Greg, I'm glad I can help educate the less informed!! ;)