The Home Is Possible Program helps Nevada residents with down payment assistance on their Henderson or Las Vegas home. This state program offers free money for residents who can prove that they can afford a home’s monthly payments, but savings might be lacking from qualifying for a mortgage. Many first time home buyers in Henderson and Las Vegas can receive up to 5% of the loan amount. This amount can cover all of a down payment and most of the closing costs without having to be paid back later, the money from this program is completely free. Below are 10 things you should know about the Home Is Possible Program:
Though this program will reach out to first time home buyers in Henderson, if this is not your first home purchase, don’t worry! You can qualify for just as much as a first time home buyer and won’t have to pay any money back to the program. There is also a no asset limit, so even if you feel like you may own too much to qualify, be sure to check with your mortgage lender just in case!
If you qualify for the Home Is Possible Program, you will be able to choose whether you want to put the full amount towards a down payment, use the money for part of the down payment on the house and closing costs, or put all the money you receive from Home Is Possible towards closing costs. All these options for where to put the money will be beneficial, but you will want to ask your lender which option is best for your specific situation.
You should also talk to your lender about the Mortgage Credit Certificate Program, which can be used in combination with the Home Is Possible Program. Your lender may know of additional down payment or first time home buyer in Henderson assistance programs, which may ensure that you get both the down payment and the closing costs completely covered.
This means that you will not make money with these programs, they will simply help you pay for either the down payment or the closing costs. If you know of someone who qualified for more money, it may have been because they purchased a more expensive home.
These programs will work with fixed interest rate 30-year loans. Oftentimes a first time home buyer in Henderson will have a slightly higher interest rate if they use a down payment assistance program, so check with your lender to see if it will be worth it in the long run. You will also have refinancing options later which may allow you to lower your interest rate.
There are a few requirements for the Home Is Possible down payment assistance program. This program wants to make sure it is helping the right people and not giving away tax dollars to people who are financially well off. One is that you must make below $95,000 a year.
You must have a credit score of at least 640. Down payment assistance programs such as Home Is Possible want to ensure that first time home buyers receiving help are responsible enough to be able to make monthly payments. If you have a lower credit score, your lender will be able to advise you on how to increase your credit score and may refer you to a credit repair company.
To qualify for the Home Is Possible Program, you must be buying a home that costs less than $400,000. Since this is almost twice the average Las Vegas real estate listing, you should not have too much of a problem staying under $400,000!
If you will be using the Home Is Possible Program, you have to be purchasing your primary residence in Henderson or Las Vegas. This means that you will not be able to rent out the home for a certain period of time and it is not meant for a vacation home. You could face fines if you try to use the program to purchase a vacation home or rental property.
Though you may be receiving help on your down payment and closing costs when you’re buying your first home in Henderson or Las Vegas, you will still have to meet regular loan qualifications. This means that you have to show pay stubs and tax returns to show that you earn enough to be able to make monthly payments. Your debt to income ratio will also have to be a ratio that is approved by the bank. There are several other considerations lenders take into account before approving you for a loan, so be sure to contact an experienced lender who can help you determine if the Home Is Possible Program is right for you!