Yesterday, Louise Mack from Prosperity Unlimited presented to the realtors at Team Honeycutt information about the downpayment assistance programs that are available to first time homebuyers. Most people have heard about the federal tax credit that was part of the Recovery Act. However, there is additional assistance available to qualified homebuyers that is meant to increase access to home ownership and stabilize the housing market.
The City of Kannapolis, through funds from HUD, offers downpayment assistance to first time homebuyers who are within 80% of the area median income ($37,250 for a 1-person household, $53,200 for a 4-person household in Cabarrus County for 2009). If you buy a house within the City limits, you can get up to $5,000 in downpayment assistance or up to $15,100 if you buy a house in the Carver revitalization area. Prosperity Unlimited administer the downpayment program on behalf the City.
There are additional downpayment assistance programs administered by Prosperity that work for homebuyers up to 120% of the area median income ($55,875 for a 1-person household, $79,800 for a 4-person household in Cabarrus County for 2009). These programs offer up to $25,000 in downpayment assistance if you buy a foreclosed home or unsold builder’s inventory (basically a new house that a builder was unable to sell).
Generally the maximum sales price of the house is $230,000, but that depends on the specific program used.
These programs can make a house much more affordable. For example, depending on the program, a $120,000 house can result in a monthly mortgage payment (including taxes & interest) of under $600, which is comparable to (or sometimes less than!) rent these days.
There are various eligibility requirements tied to the different programs, so to find out more, contact Prosperity Unlimited at 704-933-7405.
Filed under: Uncategorized | Tagged: Caver Area, CDBG, downpayment assistance, HUD, Prosperity Unlimited | 1 Comment »
Kannapolis 