A big portion of this American dream is to purchase your own home. According to the Census Bureau, 67 percent of families are homeowners. However, many others cannot purchase their own home because they cannot afford the down payment and closing costs of commercial loans. If you’re wanting to purchase a home for the very first time, you can apply for a home buyer grant that will help you with the costs.
Find a home buyer grant application. Contact your regional authorities for information on home-buying programs. The Department of Housing and Urban Development (HUD) provides a list of home-buying applications by state. For instance, in California you can apply for home buyer grants to the California Housing Finance Authority (CalHFA), the U.S. Department of Agriculture Rural Housing or visit the California Department of Housing and Community Development for information on over 200 home programs.
Check the application prerequisites. First-time home buyer grants have purchase and income limits that differ from state to state and county to county. By Way of Example, the California Housing and Finance Agency earnings limitations for the California Homebuyer’s Downpayment Assistance Program at San Francisco ranges from $83,000 to $157,000, Based on the number of people in the household.
Find a licensed lender. Local home-buying applications use approved lenders to supply loan grants. You can find a list of lenders that are licensed . As an example, the California Housing Finance Agency provides a list of CalHFA-approved creditors that first-time buyers can contact to apply for a loan grant. Another example is that the Ohio Housing Finance Agency, which offers first-time buyers grants only through their lenders that are approved.
Fill in the application forms. You’ll need to answer questions in your earnings, employment history, debts and other financial and personal information. Based on the type of grant, your lender may require a credit report to look at your own credit history and beyond reliability as a borrower.