A down-payment is what the Lender will require you to pay to purchase a home. Remember assistance is not going to pay all of your costs, but assist with you some of the costs. Nothing in life is free, so weigh your options carefully.
Neighborhood Housing Services (NHS) collaborates with the City of Oklahoma City and offers assistance up to 10% of the purchase price of the house, not to exceed $14,999. There are income guidelines, so pay attention closely and you can only purchase a home in the designated target area. Attending a Home Buyer education class is mandatory. This is a way to educate homebuyers to help reduce the number of foreclosures. This class is offered during the day or online. Topics include, shopping with a Realtor, financing your home, homeowner's insurance, inspecting the home, fair housing practices, living on a budget, and understanding credit. The stipulation with this money comes with a lien on the property for 5 years. If you decide to move you will be required to pay a prorated amount back to NHS.
Community Action Agency of Oklahoma City (CAAOKC) offers the same program as NHS, and you must buy in the same target area if you are looking in Oklahoma County. They also offer a program for Canadian County and other cities as well. You will have to attend a Home Buyer class to obtain downpayment assistance/closing costs. Topics include, shopping with a Realtor, financing your home, homeowner's insurance, inspecting the home, fair housing practices, living on a budget, and understanding credit. The stipulation with this money comes with a lien on the property for 5 years. If you decide to move you will be required to pay a prorated amount back to Community Action.
Home Buyer Education Workshops: Community Action Agency of OKC and Oklahoma/Canadian Counties, Inc. hosts FREE Homebuyer Education Workshops. See below and call (405) 232-0199 EXT 3201 to enroll in their upcoming workshop. They are held on Fridays from 8:30am-4:00pm. Address is 319 SW 25th St, Oklahoma City, OK 73109.
Workshop Schedule for 2020
Oklahoma Housing Finance Agency (OHFA) offers grants and bond money for down-payment assistance. The minimum credit score is 640. Maximum purchase price is $283,348. You can receive 3.5% down payment assistance, this number is calculated on the total lona amount. Income range is $65,500-113,540. They have special grants for teachers, police, firefighters, and now State Employees as well. The OHFA Dream assistance is available for the average joe as well. You will have to contact an approved lender to do this kind of assistance, but ask me and I will get you in contact with that person. The income guidelines are less strict than the other two programs mentioned. You will have a higher interest rate with this down payment assistance.
REI Down Payment Assistance is available for Buyers who are looking to do one of the following loans: Conventional, FHA (203(b), 234(c) & 203ks), VA (203(b) & 234(c)), USDA Rural, and HUD Section 184. Buyers do not have to be first-time home Buyers, but if they are, they are required to take a class-approved by REI and pay $99 for that class. The amount of assistance available is 3.5% or 5.0% of total first mortgage loan amount. There are income guidelines, in Oklahoma County, a household of 1-2 cannot make more than $93,380.00. A family of 3 or more cannot exceed $108,943.33. You will have a higher interest rate with this down payment assistance.