|
Home Buyers Tri-County’s Home Buyer Assistance Program enables low-income families that normally could not obtain conventional financing to buy homes. Using funding from the Illinois Housing Development Authority Tri-County provides these families with up to $8,000 in down payment assistance, up to $2,000 in closing costs assistance and up to $25,000 to be used for rehabilitation after the home is purchased. This assistance is in the form of a no-payment forgivable loan or second mortgage which is completely forgiven after 10 years if the families do not sell their homes. By providing this assistance Tri-County enables area banks to provide first mortgages for the purchase of homes.
The families need to meet the income guidelines, have a good credit history and have some savings to put toward the down payment. A program requirement is that the homebuyer does need to contribute a minimum of $1,000 towards the purchase price. Additionally, the purchaser needs to follow the program requirements from the onset and be pre-qualified through TCOC before starting a home search.
Since 1998 when this program first begun, TCOC has helped 80 families purchase homes.
Mortgage Loan Requirements · A 30-year conventional mortgage loan of 360 months is used · 6% to 7.125% interest rate is presently common · 20% down payment is required · No Private Mortgage Insurance (PMI) is required · The homebuyer is required to contribute a minimum of $1,000 to the down payment depending on the price of the home · 2 year employment history · Income history (last 2 years’ W-2 forms and the last 30-days pay stubs) · Residence history (addresses for 7 years or the last three residences) · The last 3 month’s checking and saving account statements · Outstanding credit card debt and outstanding loan payments
Homebuyer’s Projected Expenses · $5.00 is needed for a credit report from Tri-County Opportunities Council · Earnest money will be submitted from the homebuyer’s down payment · Homeowner’s insurance of approximately $500 is to be paid prior to the closing date. |
|
Weatherization |
