Time Running Out For Down Payment Assistance
If you are a first time home buyer and you need down payment assistance in order to purchase your home, time may be running out for you to take advantage of the down payment assistance programs. The 2008 Housing and Economic Recovery Act signed by President Bush this past week prohibits FHA borrowers from receiving funds for down payment assistance from an "interested" party, either directly or indirectly. Since the majority of the down payment assistance programs are funded by seller who obviously has an interest in the transaction, this would effectively eliminate these programs. The Act also increases the amount of money that a buyer must be vested from 3% to 3.5%. There are measures being taken to counteract this, but at this point in time, these programs will be discontinued October 1, 2008.
So, what does this mean if you are a first time home buyer planning on utilizing a down payment assistance program? Adding to the fact that rates are still low and there are many great homes on the market right now priced very well, NOW is definitely the time to buy. Bear in mind that if you write a contract utilizing down payment assistance, it will need to close BEFORE October 1, 2008, or you will lose that funding and be required to come up with the funds another way.
If you are currently in the market, browse our website at www.4saleokc.com. We have many great tools available including a new listing notifier and the ability to search the MLS. When you are ready to go take a look in person or write a contract, we will be here ready to assist you in the process.
Marcia Harris, ePRO, REALTOR
marcia@4saleokc.com
405-819-9939
Traci Patman, REALTOR
traci@4saleokc.com
405-706-9992