Tag Archives: VHDA

Home Buying IS Within Reach!

So many people, especially the young, are discouraged about their ability to buy a home, especially with the newest generation of homebuyers having born witness to the “housing bubble.” But let’s face it, that was almost a decade ago and the real-estate market has made a strong comeback with fair pricing and an honest loan system accessible to those who never thought it possible in their lifetime. Lucky for us, we have the details on how you can reach buying a home especially if your profession is in law enforcement, education, firefighting, and healthcare thanks to the Virginia Housing Development Authority (VHDA).

The VHDA offers free grant money for down payment and closing cost assistance for qualified homebuyers to help overcome common barriers in the housing market. Income levels have to meet specific requirements and the home has to be a primary residence. There are also programs for non first-time buyers so read on! Credit scores, income level and location are the factors that drive the type of VHDA financing you can qualify for. Not one program fits all and there many VHDA grant and loan programs to consider.

Some people are deterred by interest rates, others by the ever-increasing qualifications for acquiring a home loan. Then there’s that huge down payment that far exceeds the money many of us have available to use. And last but not least, the word “mortgage” in and of itself can be mighty intimidating. But have no fear! You can find the solutions here:

Homebuyers Classes and Education

Young couples and other first time homebuyers can benefit from free classes offered by the VHDA to help de-mystify the home buying process. If you don’t have the time for a class you can also request a packet of information to review at your leisure. But more importantly, and what I always recommend is a face-to-face meeting with a qualified VHDA loan officer. Empower yourself by learning the most recent qualifying information, which can change yearly, and to better understand the process and timeframes to finance and complete a purchase.  Knowing your lead times is critical to not only you but to your realtor and closing team to best plan your home search. Understanding the ins and outs of the home buying process can help lift the intimidating feeling many have when considering a home purchase.

Low and Zero Dollar Down Payments

For many homebuyers, coming up with that huge down payment is the main hurdle. However, the VHDA offers loans with low down payments — some as low as zero! This is easy to qualify for, especially for veterans and rural housing options. Rural housing options are not as daunting as they sound. You don’t have to buy a 50-acre spread. Most rural options allow for areas just outside of city limits and Prince William, Loudoun, and Fauquier Counties are just of few of the nearby counties that qualify.

30-Year Fixed Interest Rates

Home Buying IS Within Reach! What?! Thirty years without fluctuations in interest may seem like a pipe dream for some homebuyers. However, it’s as real as it gets with the VHDA. First time homebuyers and young couples can feel secure with the  “low 30-year fixed interest rate” as the primary feature on all VHDA home loans.

Fixed Monthly Payments

Just the sound of the words “mortgage payments” makes some people cringe. Yet, the VHDA offers a low fixed monthly payment to qualifying loans. VHDA fixed payments can make home owning less stressful.

I encourage you to take a look for yourself, and see just how easy it is to access these great benefits and buy a home of your own. For more information regarding the loan features and benefits mentioned here, visit the VHDA Home Loan page, or contact Belinda Jacobson-Loehle at Jacobson Realty and Home Staging today.

 

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VHDA Financing for First-Time Homebuyers: A Well Kept Secret

VHDA Financing for First-Time Homebuyers: A Well Kept Secret

If you’re looking for a home loan in Virginia

If you’re looking for a home loan in Virginia, going through the Virginia Housing Development Authority (VHDA) may be a good option. The organization is a not-for-profit that helps mostly first-time homebuyers obtain affordable mortgages. They may even be able to assist you with a down payment on your first home through a grant. Learn more about their financing opportunities and grant programs to see if they might be a good alternative for your home purchase.

VHDA’s Down Payment Assistance Grant

If you’re a first-time homebuyer and you qualify for this program, you may receive a percentage of your new home’s purchase price to help with the down payment. If you qualify, you do not have to pay the money back. When you receive this grant, you are eligible for a Mortgage Credit Certificate, which is a dollar-for-dollar credit against your federal income tax liability. It is important to keep in mind that there is a limited amount of grant money offered each year by the VHDA, so the sooner you contact a lender to determine if you qualify, the greater your chances to receive it!

The maximum grant the VHDA offers is 3 to 3.5 percent of the purchase price required for the eligible VHDA loan. There are income limits which you must not exceed in order to receive this grant. There are also only certain VHDA loan programs which qualify for down payment assistance. To learn more about this program, it’s best to contact a lender.

Education for Homebuyers 

VHDA offers free education to help you understand the kinds of loans that are available. They will walk you through the home buying process from start to finish and show you how to stay on track once you’re in your home. You can take the class in person or online.

Eligibility for VHDA Financing

In order to qualify you must:

· Demonstrate creditworthiness

· Be a first-time homebuyer, which means that you have not had ownership in any residence in the past 3 years, unless you are purchasing in an Area of Economic Opportunity

· Intend to occupy the property (not use it as a rental property)

· Show stable income and funds for your down payment and closing costs

· Complete the VHDA’s course on Homeownership Education

· Meet the sales price limits and income guidelines

· Purchase a home on a lot no larger than 2 acres

Home Loans Offered Through VHDA

There are several different loan programs available through VHDA. All have slightly different criteria, and not all are eligible for down payment assistance, so be sure to check with your lender to see which loan is right for your situation. Here’s an overview of loan programs that are available.

· Conventional fixed – This 30-year, fixed-rate program offers you low fixed monthly payments. Conventional private mortgage insurance allows you to finance up to 97 percent of the sales price.

· FHA – This is another 30-year, fixed-rate program that requires a low down payment and is fairly easy to qualify for. It’s FHA-insured and has liberal credit qualifying.

· VA – This 30-year, fixed-rate program requires no down payment (for eligible Veterans) and offers low fixed monthly payments. It’s VA-guaranteed and has a low, fixed interest rate.

· RHS – A fourth 30-year, fixed-rate program is government insured and offers low, fixed monthly payments. This loan requires no down payment in approved rural areas.

· FHA Plus – This loan program allows you to finance your home 100 percent with two mortgages, one for the FHA-insured first mortgage and the second to fund a down payment and closing costs. Both loans are low 30-year fixed-rate.

Even with great programs, the VHDA is still one of the best kept secrets around. But the secret is out, and now you know you have another option for financing that home you’ve been dreaming of. For more information, visit www.vhda.com. To start searching for your home, contact Jacobson Realty and Home Staging. We’ll help get you set for the next chapter in your life!

Jacobson Realty and Home Staging (JRY) was established by Broker/Owner Belinda Jacobson-Loehle in April 2002. Belinda is a native Washingtonian who grew up in Alexandria, Virginia and has lived and worked in Gainesville, Virginia since 1995. She has been a licensed broker since 1989. 

The JRY mission is to provide professional advice and analysis, maintain clear and consistent communication, and serve clients with respect. The home buying and selling process can be an exciting and stressful experience. Our goal is to make it smooth, educational, enjoyable, quick, and as financially beneficial as possible. 

The desire of JRY is to exceed your expectations to find the home you love or sell the house you have for a deal that is right for you!

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