CHAPTER 9 Programs For Home Bu or Home Buyers
According to the Census Bureau, 65.6% of Americans own their homes. That still leaves a huge number of people who cannot, often because they can’t afford the closing costs, or don’t meet the down payment requirements of commercial loans. The U.S. Department of Housing and Urban Development (HUD) provides billions of dollars every year to housing grants, turning the home ownership dream into reality. If you’re buying a home for the first time, you can file for a buyer’s grant. There are national, state, and local programs and grants available to first- time home buyers. These programs and subsidies can help cover portions of acquisition costs, including the down payment, and allow buyers to get a higher percentage of loans to finance.
GRANTS FOR FIRST-TIME HOME BUYERS
Grants can be just as important as loans when buying your first home. First-time grants can be a significant source of funding, and unlike a loan or a debt, a grant won’t have to be repaid. Often, these programs are aligned in areas where the government wants to capitalize on the revitalization of a community. This makes “urban homesteading” a viable and less expensive option for the first-time buyer. These grants are a boon for both home buyers and the community. Most grants help to connect with down payments closing costs. There are also programs that provide funds for other purposes in the home buying process. Many of these programs offer loans that don’t have to be repaid, a very helpful thing for someone who has all the elements of a successful home buyer but needs down 70
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