I just received the official announcement that House Key Opportunity (aka the Washington State Bond program) will start accepting reservations (locks) tomorrow, May 1, 2014.
The state bond program offers below market interest rates to home buyers who have household incomes limited to 80% or lower of the HUD’s income limits. In King County, a family of four would qualify for this program if their household income is $63,900 or lower. House Key will allow credit scores of 620 or higher – there may be additional credit score or income limits with combined down payment assistance programs.
UPDATE 5/30/2014: Income limits above are for when home buyers do not use a down payment assistance program in conjunction with House Key Opportunity state bond program. Income limits for the Seattle – King County area are $90,000 for a 1-2 family home or $97,000 for a 3+ family home.
These funds are limited and may run out or the program may be withdrawn at any time. You cannot reserve funds without having a bona fide purchase and sales contract.
The Washington State Housing Finance Commission has announced the following rates for this program:
3.500% (apr 4.905%) priced with 1% point for FHA 30 year fixed. Quote based on a sales price of $300,000 and a base loan amount of $289,500.
3.500% (apr 3.813) priced with 1% point for VA 30 year fixed. Quote based on sales price of $300,000 with a base loan amount of $300,000.
3.750% (apr 4.091%) priced with 1% point for Conventional 30 year fixed. Quote based on a sales price of $300,000 with a base loan amount of $288,600.
Quotes above are based on credit scores of 720 or higher. Subject to credit approval.
The House Key Opportunity Program with down payment assistance programs are available to borrowers who meet specific program requirements. Amounts and terms of the DPA vary with each program. The second mortgage programs listed below may also be used with a Home Advantage first mortgage and are provided based on need. Not all of the DPAs listed below have constant funding so availability may be limited.
- The HomeChoice Program: eligible borrowers must have a qualifying disability or have a family member with a qualified disability living with them. Maximum DPA is $15,000.
- House Key Schools: borrower must be an employee of an accredited or state recognized K-12, public or private school including community and technical schools. Max DPA is up to $10,000.
- House Key Veterans: eligible borrowers are veterans who received an honorable discharge and include members and honorably discharged former members of the Washington national guard and reserve or never remarried spouses and dependent/children of deceased veterans. Max DPA is $10,000.
- New Home for You: available to first time home buyers (or targeted area) meeting criteria and buying a never occupied new construction home. This program is only available with a House Key first mortgage and requires credit scores of 680 or higher. Max DPA is $10,000.
Home Advantage Rebound: the home being purchased must be bank owned, foreclosed or a short sale. Max DPA is up to $10,000. UPDATE 5/30/2014 Home Advantage Rebound DPA is out of funds and no longer available.
- House Key Plus ARCH: first time home buyers must be purchasing a home in designated areas of east King County. Max DPA is up to $30,0000.
- House Key Plus Seattle: eligible home buyers must be purchasing a home in designated areas within the city of Seattle. Max DPA is $45,000 and funds are limited.
In order to be eligible for this program and ones like Home Advantage, borrowers are required to take home buyer education courses sponsored through the Washington State Housing Finance Commission. Check out the WSHFC sponsored classes that I’m teaching by clicking this link.
Questions? Would you like more information? I’m happy to help you!