$20,000 Assistance Fully Forgivable After 5 Years
Rhode Island Housing is offering a $20,000 program to certain qualified home buyers looking to buy distressed properties. First time home buyers can take advantage of this program by receiving a grant of $20,000 towards the purchase of any single family or multifamily residential property up to 4 units in total. Buyers have to be first time home buyers, meaning they can never have owned a residential property previously. The properties have to be bank owned through foreclosure, deed in lieu, or receivership or up for sale as a qualified short sale. The buyer has to apply for a mortgage with Rhode Island Housing. The goal of the program is to help put more first time home buyers into homes while simultaneously targeting the reduction of distressed properties on the market.
Some of the properties might be ugly and some might be difficult to obtain, but if you can find one that qualifies for standard financing AND get $20,000 forgivable assistance to help with down payment and closing costs, you can be standing with a significant equity gain when all is said and done. It can be difficult to navigate the bank owned and/or short sale processes, but with the help of an experienced Realtor, this program can really help jump start some first time home buyers’ financial nest egg.
Rhode Island Housing has many strong loan programs for all types of residential Real Estate buyers. For more info on the Renewed Homes $20,000 grant program, see below and/or schedule a time to talk with one of our buyer specialists about distressed properties and the home buying process.
To qualify for the Renewed Homes Program you must:
• Be a first-time homebuyer purchasing a 1-4 family home or condominium (For the purposes of this program, a “first-time homebuyer” is defined as someone who has never owned residential real estate.)
• Obtain a Rhode Island Housing first mortgage through a Participating Lender or Rhode Island Housing
• Meet income and purchase price limits, as well as all first mortgage requirements*
• Occupy the home as a primary residence and be the first to occupy the property after the “Qualifying Event”
To be eligible for the Renewed Homes Program, your total annual household income must be less than $89,280 (for a 1-2 person household) or $104,160 (for a 3+ person household).
The down payment assistance of $20,000 is forgivable after 5 years of owning a home, and you must maintain it as your primary residence. The maximum purchase price allowed through the Rhode Island Housing Loan Center is $407,195 for a one- to four-family home or eligible condominium. The maximum loan amount for a FirstHomes loan through our Participating Lenders is $417,000.
The Renewed Homes Program is only available in conjunction with a Rhode Island Housing first mortgage, available through our network of Participating Lenders and Rhode Island Housing.
There are more options now more than ever for home buyers to get into good loan programs that make home ownership possible. Feel free to contact us below for more information.
The Perrino Properties Team is a proud partner with Mike Tramonti at Freedom Mortgage. Mike is a Rhode Island Housing approved lender and has gotten loans approved through Rhode Island Housing in record time. Tell him the Perrino Properties Team sent you.