Phoenix and Maricopa County homebuyers can now get a five percent down payment assistance grant and 6.30 percent mortgage rate through the Home in Five bond program issued by the Industrial Development Authorities (IDAs) of the city of Phoenix and Maricopa County.
The IDAs have a $25 million single family bond program for 2006 that helps borrowers purchase their first home. homebuyers have access to mortgage loans (FHA, VA, RHS and Fannie Mae- and Freddie Mac- eligible conventional) that also provide a grant for down payment and closing cost assistance equal to 5 percent of the original loan amount throughout Maricopa County, including the city of Phoenix.
“The Home in Five program provides mortgage loans at an attractive intrest rate with a down payment assistance grant to families who might otherwise be unable to afford a home,” said Ruben Ramos, president of the Phoenix IDA. “For example, a first-time homebuyer who received a $100,000 loan would receive an additional $5,000 grant, which could be used for down payment and closing costs.”
“The largest barrier to home ownership many families face is a lack of a down payment,” said Tifton Simmons, president of the Maricopa County IDA. “We want to continue our long-standing support and encouragement of home ownershipby providing a way for families to achieve and afford the American Dream of owning their own home.”
Income limits for the Home in Five program require that annual family income not exceed $60,100 for families of one or two and $69,115 for families of three or more. The maximum home cost under the program is $301,500. Eligible prospective homebuyers cannot have owned a home in the past three years, except in certain targeted areas. Higher income and purchase price limits are also available in those targeted areas.
In addition, Simmons noted that several factors contributed to the exceptional 6.30 percent mortgage rate achieved with 5 percent down payment assistant grants. “Our finance team developed an innovative structure which resulted in a very favorable pricing of the bonds and therefore the resulting mortgage rate.”
The IDAs of the city of Phoenix and Maricopa County have provided single family bond programs since 1980 and done so on a joint basis since 2000. More than 1,880 Phoenix and Maricopa County families have received in excess of $207 million in mortgage loans and approximately $8.8 million in down payment assistance grants through these joint programs since 2000.
For more information, you can contact Home Mortgage Consultant, Pamela Wall.
Pamela Wall
16150 N Arrowhead Fountain Ctr
Suite 325
Peoria, Az 85382
Office (623) 776-3735/ Fax (602) 942-5312
Cell (602) 568-4990
Toll Free 866 277-6395 ext.135
Email: pamela.wall@wellsfargo.com
