Update on Home in Five Program

I receive a lot of questions from readers on the current status of the Home in Five down payment assistance program. I  might as well answer these questions here. The long and short of it it is that currently I am unable to work with the Home in Five program.

From what I currently know the program is not funded, meaning there is no money available for down payment assistance. If things should change I will update this blog accordingly.

For those not familiar with the Home in Five program provides 5% down payment assistance to any homebuyer who meets the income and acquisition price limits. The household income requirements range depending on the area within Maricopa county. The program targets borrowers with moderate to lower incomes. The other factor that plays a significant role in the program is the area where the property is located.

UPDATE Summer 2013

Here is more information about the Home In 5 Advantage program along with some lenders who can help you.

Over $3M in Down Payment Money Used Up in One Day

Down Payment Assistance Phoenix, AZ Home in FiveAt 11:04AM today we received an e-mail stating that about $3.5 Million was now available for the non-target areas of the Home in Five Program. Money previously assigned to targeted areas were now released as non-target, meaning you didn’t have to be a first time home buyer to use these funds anywhere in Maricopa county. This is obviously very good news since we are working with a few buyers who could use these funds.

A little after 5pm we received a call stating that one of these buyers had an accepted contract. Aimee quickly jumped on the Home in Five website (lenders only) to reserve funds. She was stunned! There was only $229,000 left at about 5:25PM. This is a depletion rate of about $585,000 per hour! Wow.

Moral of the story is that these funds go fast. With 100% loans scarce everyone is looking for down payment assistance. There are still programs like the Home in Five out there which are available to needy borrowers, it’s just that there are lots of restrictions attached to them and oftentimes its only available on a first come first served basis.

Fortunately our borrowers loan size was smaller than fit under the available funds, so we were able to reserve the money for their purchase.

Read more on the Home in Five Down Payment Assistance Program.

More Money For Down Payment Assistance Program

I receive a lot of questions on the Home in Five Down Payment Assistance Program. The most popular question is of course regarding the availability of funds for non-targeted areas. Well, if you were waiting for these funds before making your purchase then wait no more. We have some good news today. I received an e-mail this morning that there has been $2,000,000 released for down payment assistance in non-targeted areas.

What does this mean to you then?

This means that money is now available for down payment assistance on properties that are outside the designated targeted zones but inside Maricopa county. Just so everyone is clear here are some quick facts:

  • Borrower must be fully approved for a loan program which allows the use of down payment assistance (such as FHA)
  • Borrower can use funds to purchase anywhere in Maricopa county.
  • The borrower does not need to be a first time home buyer (for these funds).
  • Have a property in escrow, appraised and underwritten – since the money runs out quick.
  • The rate on this program is 6.3% and the assistance is 5% of the purchase price.
  • Funds are disbursed on a first come first serve basis.

This program allows up to 5% down payment assistance.  Funds can be used to pay closing costs as well, it just depends on how you end up structuring the loan with your loan officer.

Just a reminder that these funds are HUGELY popular and go fast, so if you are anywhere close to finding a property…this is a SUPERB time to take the plunge!

Read more on the Home in Five Down Payment Assistance Program.

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