Aspiring homeowners who are struggling to save up for a down payment now have a chance to receive up to $40,000 in assistance through the Austin City Limits program.
This program is designed to provide income-eligible first-time homebuyers with the necessary resources and education to make informed decisions about purchasing a home.
By completing a HUD-approved homebuyer education course and obtaining an official Certificate of Completion, eligible applicants can receive the down payment assistance they need to make their dreams of homeownership a reality.
To qualify for this program, applicants must complete a homebuyer education course through a HUD-approved provider and obtain their Certificate of Completion.
Non-profit organizations such as Frameworks Community Development Corporation and Business Community Lenders of Texas offer these courses for a cost of $99.
The course covers a wide range of topics, including mortgage lending, budgeting, credit management, and home maintenance.
Through this comprehensive education, participants gain a better understanding of the home buying process, which can help them make more informed decisions about their purchase and avoid costly mistakes.
With the help of this program, aspiring homeowners can achieve their dreams of owning a home and secure a brighter future for themselves and their families.
Key Takeaways
- Completion of a homebuyer education program results in an official Certificate of Completion.
- Non-profit organizations like Frameworks Community Development Corporation and Business Community Lenders of Texas offer HUD-approved homebuyer education courses and homeownership counseling for a cost of $99.
- Down payment loan assistance is available for income-eligible first-time homebuyers who complete homebuyer education classes, covering up to $40,000 for down payment, closing costs, and pre-paid expenses associated with home buying.
- Potential homebuyers must obtain an official Certificate of Completion, be approved for a mortgage loan from a participating lender, and confirm that the property is within Austin City Limits to be eligible for the down payment assistance program.
Certificate of Completion Requirements
The completion of a HUD-approved homebuyer education course results in the issuance of an official Certificate of Completion, which is a requirement for income-eligible first-time homebuyers to be eligible for down payment loan assistance that covers up to $40,000 in down payment, closing costs, and pre-paid expenses associated with home buying, provided that the property is within Austin City Limits and the sales price of the home does not exceed $614,054.70.
The Certificate of Completion demonstrates that the participant has completed the course curriculum, which covers topics such as money management, credit, mortgage loans, and home shopping. It serves as a validation of the participant’s readiness to engage in the home buying process and their understanding of the responsibilities and challenges associated with homeownership.
The Certificate of Completion is valid for one year from the date of issuance. If the participant does not purchase a home within that timeframe, they will need to retake the course and obtain a new Certificate of Completion to be eligible for the down payment loan assistance program.
It is important for participants to keep their Certificate of Completion safe and accessible, as they will need to provide it to participating lenders when applying for a mortgage loan and down payment assistance.
Down Payment Loan Eligibility
Eligibility for the down payment loan program requires completion of homebuyer education classes and confirmation that the property is located within Austin City Limits, with a maximum sales price of $614,054.70. Income requirements are also a factor in determining eligibility for the program.
The program is designed for income-eligible first-time homebuyers who may not have the funds for a down payment, closing costs, and pre-paid expenses associated with home buying. The program covers up to $40,000 in assistance for these costs, making it easier for first-time homebuyers to purchase a home.
To determine eligibility for the down payment loan program, potential homebuyers must obtain an official Certificate of Completion from a HUD-approved homebuyer education course. Once this is completed, they must be approved for a mortgage loan from a participating lender.
Loan officers from participating lenders can assist with filling out and submitting the Down Payment Assistance Application. Required documentation for the application includes identification, verification of income and other income, and verification of assets. Once eligibility is confirmed, the program covers down payment, closing costs, and pre-paid expenses associated with home buying, up to $40,000.
Participating Lender Information
Information on lenders who are certified by HPD to participate in the down payment loan program can be obtained by attending a Housing Planning training or contacting HPD directly.
Participating lenders are required to attend this training to register as HPD certified lenders. Interested parties can request future Down Payment Assistance Lender training for groups of five or more.
This ensures that participating lenders are knowledgeable about the program and can assist potential homebuyers with filling out and submitting the Down Payment Assistance Application.
Participating lender benefits include the ability to offer down payment loan assistance to income-eligible first-time homebuyers who have completed homebuyer education classes.
This helps lenders attract more customers and increase their loan portfolio. Additionally, lenders who participate in the program can provide a valuable service to their community by helping low and moderate-income families achieve the dream of homeownership.
The lender selection process is straightforward, as a list of participating lenders is provided to potential homebuyers. Loan officers from participating lenders can assist with filling out and submitting the Down Payment Assistance Application, which requires the submission of identification, verification of income and other income, and verification of assets.