Douglas County has a program whereby they will provide down payments assistance of 5% of the purchase price for First Time Home Buyers
The criteria for this program is as follows:-
* MUST be able to contribute $1,000 towards the purchase
(cannot be borrowed or be a gift).
* Secure a first mortgage. All loans MUST be a 30 year fixed loan.
* Reside in Douglas County 12 months prior to closing or work in Douglas County at least 20 hours per week
* Be a “First-Time Homebuyer” (No ownership in a home in the past 3 years, Single parent that has owned prior with a spouse, or a displaced homemaker.)
* Back-End ratio under 45%
* Borrowers must show an acceptable credit history. A letter of explanation for all adverse accounts (bankruptcy, collections, late payments, etc.) is required.
* The home MUST be used as a “primary residence” and be located in Douglas County (the home cannot be “renter occupied” at the time of purchase).
* Potential borrower MUST meet with DCHP and receive “Income Certification Letter” prior to signing a sales contract.
* $100 application fee
The downpayment assistance is in the form of a second mortgage. Payments begin immediately and the funds may only be used for downpayment, no closing cost assistance. Borrowers have a choice of either (a) a 15 year loan term which will carry an interest rate of three percent below the 10-year Treasury Index (but no lower than a 1% interest rate), or (b) a 30 year loan term which will carry an interest rate of one percent below the 10-year Treasury Index (but no lower than a 3% interest rate).
For More Information, CLICK HERE
Source Douglas County Housing Assistance