I am just learning about a down payment assistance program (dpa) that I now have available at Mortgage Master Service Corporation. The NHF Platinum Program is a little different than what you may be used to as it’s a grant that does not have to be repaid.
This past weekend, Fannie Mae implemented new underwriting standards raising the minimum down payment for a conventional loan from 3% to 5% down…with an exception. The exception allows for certain community based programs, like those offered through the Washington State Housing Finance Commission to still provide 3% down conventional mortgages. I have confirmed with WSHFC that the Home Advantage Program will continue to all a minimum 3% down payment.
For more information about the Home Advantage Mortgage Program, please click here.
This weekend, Fannie Mae will be updating DU (Desktop Underwriter) to reflect the new higher minimum down payment requirements. I’ve written about that here.
This new underwriting guideline will also impact Fannie Mae HomePath mortgages, bringing the minimum down payment from 3% for owner occupied purchases to 5% down.
Do you or someone you know want to learn more about the home buying process?
Jim Reppond from Coldwell Banker Danforth and I will be instructing a free home buyers class on Saturday, July 20th at the Green Lake Library.
This class is sponsored by the Washington State Housing Finance Committee. Class participants are eligible for the programs I’m able to offer through the WSHFC, like Home Advantage. In fact, in order to qualify for the WSHFC down payment assistance programs, home buyer education is required.
WSHFC requires that the class is at least five hours, so we will be starting at 11:00 am and trying our best to end at 4:00 pm.
Please bring a sack lunch as we will not have a lunch break.
- When: July 20, 2013
- Starting promptly at 11:00 am and ending at 4:00 pm
- Where: Green Lake Library located at 7364 East Green Lake Dr N, Seattle, WA 98115
- Cost: FREE
Although the class if free, space is limited. All parties who will be on the loan for a WSHFC program must attend an approved class. You do not need to be a first time home buyer to attend the class or to qualify for the Home Advantage program, which offers down payment assistance up to four percent at zero interest with deferred payments for 30 years.
To sign up, call 253-234-2228 or click here.
Please feel free to share this information with anyone you know who is considering buying a home.
UPDATE February 21, 2014: Conventional financing currently has increased the minimum down payment to 5% from 3% unless you are considering the Home Advantage Mortgage Program. Mortgage programs and guidelines change constantly so please check with your local mortgage professional regarding what is currently available for you.
I’m pricing out a scenario for a first time home buyer who’s looking at buying a home priced at $250,000 and they have roughly 3% set aside for down payment plus closing cost. Since they have excellent credit, they are leaning towards conventional financing instead of FHA, which has much more expensive mortgage insurance (upfront and monthly).