The Details
Matt Ghazarian · eXp Realty
What You Need to Know
You must have $2,500 of your own funds for your home inspection, first year's homeowners hazard insurance, pro-rated real estate taxes, and title insurance. These are "prepaids" — not closing costs — not part of your down payment. The remaining prepaid funds may be gifted, but the $2,500 must be the buyer's own money. You'll likely need less than a first/last month's rent deposit!
You DO NOT have to be a first-time homebuyer, but you cannot own a home at closing. If selling first, a sales contract is required. The current home typically closes 3–5 days before the new one.
You must have paid your rent or mortgage payment ON TIME (not more than 15 days late) for the last 12 months.
Show on-time payments for three credit lines over the last 12 months. If you don't have three, utility bills, auto insurance, cell phone bills, or daycare payments can count. Typically no more than 1–3 late payments allowed.
Collections over 2 years old do not need to be paid. You are allowed up to $2,000 in collections which are under 2 years old. If the total balance of collections under two years old is over $2,000, you need to pay them down to under $2,000 — but not off completely. Medical collections do not count. All judgments must be satisfied or in a 12-month on-time payment plan.
Chapter 7 bankruptcy, foreclosure, or short sale: Must be 2+ years from discharge or sale date. Chapter 13: Must be finished with payments, last 12 months on-time.
Complete a budget form showing your ability to save money each month.
Households earning at or below the area median family income (as published by FFIEC for the census tract where you purchase) may qualify for a below-market fixed rate set by the lender. If your household income exceeds that threshold, you receive the lender's standard market fixed rate. Both rates are fixed for the life of the loan, and you can choose 15- or 30-year terms. Click Get Qualified to find out which rate applies to your situation.
This is a HUD-certified counseling program — the highest retention rate in the industry (higher than FHA or conventional). We want you to succeed without overextending yourself.
If qualified and responsive with documents, you can be in a home in 45–60 days. If not immediately qualified, we'll work with you over 6, 12, or even 24 months — it WILL happen if you're committed!
Mortgage Information Disclaimer: Any mortgage information contained herein is provided for informational purposes only and is not to be relied upon. The Agent/Brokerage supplying this information is not a mortgage lender.
Rate & Income Eligibility
5.875% APR
Interest Rate: 5.875% | APR: 5.875%
No points, lender closing costs or lender fees. Rate and program eligibility subject to participating lender requirements. Rates subject to change.
The Lender states that its standard published interest rate is also the APR because there are no closing costs, points, or fees. Rate shown is based on the participating program's currently published rate and is subject to change. Eligibility, loan terms, underwriting, and approval are determined solely by the participating lender.
Whether you receive the below-market fixed rate or the standard market fixed rate depends on your household income relative to the area median family income (as published by FFIEC for the census tract where you purchase) and, in some cases, the census tract itself. Both rates are fixed for the full loan term. Choose 15- or 30-year terms, and you can buy your rate down further with seller contributions.
| Your income vs. area median | Where you buy | Rate you get |
|---|---|---|
| At or below 100% of median | Anywhere | Below-market fixed rate |
| Over 100% of median | Area ≤ 100% of median | Standard market rate |
| Over 100% of median | Area ≤ 80% of median | Below-market fixed rate |
| Over 100%, up to 120% (high-cost area, e.g. DC) | Anywhere | Standard market rate |
| Over 100%, up to 120% (high-cost area) | Area ≤ 80% of median | Below-market fixed rate |
Income and census-tract eligibility are based on FFIEC median family income data and lender guidelines. In designated high-cost areas (such as Washington, D.C.), household income up to 120% of the area median may be permitted, subject to the location restrictions shown above. Final eligibility, rates, and terms are determined solely by the participating lender.
Find out in minutes — no credit pull, no obligation.