Our 0% Down Purchase is a down payment assistance program that allows borrowers to receive a 3% loan up to $15,000. Borrowers will have no required monthly payment on the second lien and the second lien does not accrue interest. The second lien is due in full as a balloon payment upon refinance of the 1st lien, a payoff or the final payment of the amortization schedule of the 1st lien.
BENEFITS
- Allows you to get into a home quicker without a down payment.
- Allows you to use additional funds for home repairs or emergency savings.
- Stop renting and start earning your equity faster.
Program Details
- 30-year fixed primary purchases only
- 1 Unit single-family, PUDs, condos
- No manufactured homes
- Down payment assistance can cover up to the lesser of 3% or $15,000 of the down payment
- Second lien is due in full as a balloon payment upon refinance or final payment of the mortgage, or a payoff
- No required monthly payment on the second lien
- Second lien does not accrue interest
- Down payment assistance cannot be used for closing costs
- All guidelines must be met, based on borrower eligibility
- Minimum FICO = 620 FICO
- Maximum DTI = determined by LPA findings
- Maximum LTV = 97%
- Maximum TLTV = 100%
- Minimum LTV = 95%
- Maximum Lock Period = 90 days
- Temporary Rate Buydowns eligible
- Safe Check Complete eligible
- Maximum loan amount = conforming loan limits (no High Balance)
BORROWER ELIGIBILITY
- Only eligible for borrowers with income at or below 80% Area Median Income.
- Homeownership education required when all borrowers are first-time homebuyers
- Very Low-Income Purchases (VLIP) for borrowers whose AMI is 50% or lower receive a credit of $2,500.
- Borrowers who receive this credit are only eligible for up to $12,500 down payment assistance.
- Non-occupying co-borrowers are permitted up to 95% LTV.
Don't let the lack of a down payment hold you back from owning a home. Take advantage of our 0% Down Purchase Program and start your journey towards homeownership today!
