Military and Local Hero Home Buyer Programs

 

 

VA LOANS

 

What is a VA loan?

First and foremost, a VA loan is a benefit that America’s veterans have earned as part of their military service. This benefit was made available in 1944 through the original Servicemen's Readjustment Act also known as the GI Bill of Rights. This benefit provides long-term financing to help veterans and their surviving spouse to realize the American Dream with no down payment. The GI Bill has been the largest contributor to the welfare of veterans and their families since its inception.

 

 

  • These loans are government backed which allows lenders to be more flexible in qualifying.

  • A VA loan is one of the only loan programs that provide 100% financing to a borrower in today's market.

  • It does not require private mortgage insurance.

  • There are limitations on the veterans costs.

  • VA loans are currently offered as both fixed rate & adjustable rate mortgages.

 

 

Am I eligible for a VA Loan?

Most all active duty and honorably discharged service members are eligible for a VA home loan.

 

If any one of the following are (is) true you may be eligible for a VA Loan:

  • Served 181 days during peacetime (Active Duty).

  • Served 90 days during war time (Active Duty).

  • Served 6 years in the Reserves or National Guard.

  • You are the spouse of a service member who was killed in the line of duty.

 

 

If you said yes to any one of the statement above, you may be eligible for a VA loan - congratulations! If you are interested in taking the next step contact one of our Loan Officers who can help you understand your VA Loan Benefits and what you can qualify for. There are no obligations, only information.

 

 

HUD Good Neighbor Next Door Program

 

Site info take from:  http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/reo/goodn/gnndabot

 

This program is meant to assist Law enforcement officers, pre-Kindergarten through 12th grade teachers, firefighters and emergency medical technicians to contribute to community revitalization while becoming homeowners through HUD's Good Neighbor Next Door Sales Program. HUD offers a substantial incentive in the form of a discount of 50% from the list price of the home. In return you must commit to live in the property for 36 months as your sole residence.How the Program WorksEligible Single Family homes located in revitalization areas are listed exclusively for sale through the Good Neighbor Next Door Sales program. Properties are available for purchase through the program for seven days.How to Participate in Good Neighbor Next DoorCheck the listings for your state. Follow the instructions to submit your interest in purchasing a specific home. If more than one person submits an offer on a single home a selection will be made by random lottery. You must meet the requirements for a law enforcement officer, teacher, firefighter or emergency medical technician and comply with HUD's regulations for the program.HUD requires that you sign a second mortgage and note for the discount amount. No interest or payments are required on this "silent second" provided that you fulfill the three-year occupancy requirement. The number of properties available is limited and the list of available properties changes weekly.

Summary:

  • Must be an EMT, police officer, fire fighter or a K-12 teacher to qualify.

  • Up to 50% off sale price for qualified homes.

  • Purchased property must be homesteaded by the buyers for at least 36 months.

 

enFed Foundation Dream Makers Grant

 

 

Site info taken from:  http://www.pentagonfoundation.org/site/PageServer?pagename=dream_index

 

The Dream Makers program offers grants for down payment and closing costs to first-time homebuyers of modest means who valiantly work to protect our country’s national security. The amount of the grant is determined by a 2-to-1 match of the borrower's contribution to their mortgage in earnest deposit and cash brought at closing with a maximum grant of $5,000. The borrower must contribute a minimum of $500. Grant approvals are contingent upon available funding.You don't have to be a Pentagon Federal Credit Union member to benefit from Dream Makers, and you can apply the grant to a mortgage from any financial institution.How Do I Qualify?Eligibility requirements for applicants:Active Duty, Reserve, National Guard or veteran militaryFirst-time home buyer, or you have not owned a home for the last three years, or you have lost your home through divorce or disasterGross annual income of all applicants used to qualify for mortgage is no more than 80% of area median income, adjusted for household size. Click here to determine the income limit based on the household size for the state and county in which you're planning to purchase.Received mortgage pre-qualification or pre-approval letter from any lenderAll approved applications are valid for 90 days after being submitted. Application conditional approvals may take up to 10 business days. Any applicant that has not closed on their home within the 90 day period must reapply. Grants will not be awarded after closing.

 

Mortgage requirements:    30-year fixed rate first mortgage with maximum 97% LTV and a minimum 3% down payment.

All mortgage types accepted.  Mortgage can be received from any lender.  Pre-qualification or pre-approval required.

Summary:

  • Must be National Guard, military veteran, active duty or reserve.

  • Must be first-time homebuyer.

  • Gross income cannot exceed more than 80% of area median income.

  • All lenders and mortgages are accepted.

 

 

HomeStrong's Heroes Program

HomeStrong is an organization meant to help improve the lives of those who have served their country in the military. They acquire vacant properties and then work to rehabilitate them — after the property is fit for living, they sell or donate the property to active or inactive veterans. Veterans seeking to purchase these available homes may also qualify for financial assistance, like grants for the down payment or closing costs.

Applicants must work with a HomeStrong counselor to determine if they qualify for the program. If accepted into the program, veterans must attend financial management seminars and continue with their counseling. The home purchased must be the buyer’s primary homestead — the buyer must also qualify for a mortgage loan from any lender.

Summary:

  • Must be National Guard, military veteran, active duty or reserve.

  • Veterans must attend financial management seminars and one-on-one counseling.

  • Veteran must qualify for a mortgage loan.

  • Veteran must occupy purchased house as their primary homestead.

 

 

GMHC - Minneapolis Houses for Heroes

The Greater Metropolitan Housing Corporation offers National Guard members (even those in the reserves) a huge break towards buying a home. Those deployed now in the war on terror and even those who have returned from deployment can get as much as $20,000 toward the purchase of a home in Minneapolis.

The disbursed loan can be used towards the down payment for the home, closings costs or improvements on the home. The assistance is a no-interest, deferred loan with absolutely no monthly payments. The loan is forgiven 20% per year for five years until the loan is completely forgiven — this only applies if the homeowner lives in the property for the five years after the loan is closed.  

Summary:

  • Military members of the National guard, both active and reserved qualify.

  • Up to $20,000 in assistance towards homeownership costs.

  • Loan is forgiven after five years of residence.

 

United States Department of Veteran Affairs - Specially Adapted Housing Grant

This Specially Adapted Housing Grant is designed to assist Veterans with permanent and total service-connected disabilities. This helps Veterans with disabilities to live independently and in less restrictive living environments.

These grants are meant to be put towards the construction of a specially modified property, to renovate an existing property to become suitable for the disabled Veteran, or to be put towards the unpaid mortgage balance of an already adapted home purchased without a VA grant.

The grant amount is set by law — the maximum grant for the Specially Adapted Housing program in 2014 was $70,465. No one individual may use the grant benefit more than three times up to the max amount allowable.

Summary:

  • Grants only apply to Vets with permanent and total service-connected disabilities.

  • Grants designed to help Veterans have less restrictive living environment.

  • Maximum grant in 2014 was $70,465.

 

 

 

 

 

 

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We are not a lender.  We cannot gurantee the accuracy of loan informaiton posted on this site and make no guarantees of any kind of your ability to qualify for any programs or offers.  This is not an offer to enter into an agreement. Any such offer may only be made in accordance with the requirements of MN. Stat. Section 47.206 (3) and (4)