welcome to another downpayment assistance program update hello I’m John Thomas with primary residential mortgage here to give your update well I’m announcing a new program called the PMI a DreamMaker down payment program it’s a great program to help you finance a hundred percent of the purchase of your next home with your when you’re using an FHA loan so one of the qualities for the Dream Maker homebuyer program first of all you need to have 620 minimum FICO score anybody on the loan application must have a middle score of 620 or higher in order to be able to apply for the DreamMaker down payment program there is no income limits to qualify unlike other down payment programs that all have income restrictions this program has no income restriction so Bill Gates could apply for the program you must be purchasing the property as your primary residence which means after you buy set on the home you must move in within 60 days and occupied as your primary residence now you are allowed to have a non occupant Khobar who can co-sign on the loan with you to help you qualify if your income doesn’t support you qualify for the loan and they do not are not required to live in the property you can get up to base borrow three and a half percent of the purchase price so combine that with your FHA first mortgage for ninety six point five percent that gives you a hundred percent financing for the first mortgage any second mortgage through the fear my Dream Maker down payment assistance program there is no homebuyer education required it is a second mortgage for the three 9% of the down payment if you are under the amount of fifteen percent of the ami which is the average median income for the area it’s a soft second which means after you make thirty six on-time payments on your first FHA mortgage the second mortgage for three and a percent down payment is forgiven and you don’t have to pay it back if you’re over on a fifteen percent of the ami you can still get the downpayment assistance but it becomes a hard second and you have two choices attempt cent second uh I’m sorry to 10-year second mortgages 0% interest were 30 or second mortgage at 5% inches so that’s the qualifications now if we dig into it what are the terms of the downpayment assistance loan so again you have to use an FHA loan to purchase the home with the first mortgage for the 96.5% the downpayment funds are not available on a conventional VA or a usb am only an FHA loan you are allowed to use an ion control or and help you qualify but everybody needs to 620 minimum credit score you have the option of the soft second if you’re on 150% of the ami its forgiven after 36 or we’re basically three years of long time payments on the first mortgage or if you’re over hundred fifteen it’s a hard second and you get a choice between a ten-year fixed and zero percent Interest or a 30-year fixed and five percent Interest it’s your choice now we do have to add a payment for the second mortgage when we’re qualifying you for the FHA first mortgage loan now how much do you get well it’s three and a half percent of the purchase price let me give you an example and say me buying a house for two hundred thousand you’re required to have a down payment of three and a half percent which is seven thousand dollars you’re going to get an FHA first mortgage for a hundred ninety three thousand and you normally would have to come up with that seven thousand dollars as your down payment well with the PMI drink maker program we’re going to lend you that three and a half percent as a second mortgage so you will get seven thousand dollars from the dream maker program either as a soft second or hard second depending on your household income so that means your total downpayment ends up being zero you’re going to finance on understanding the property that you still got closing costs but if you have a good real estate agent they can negotiate the seller to pay some or all the closing costs so you may be able to buy a home with a little money out of pocket you just have to have your deposit your appraisal and your inspections now you could end up getting your deposit back if you negotiate the seller to pay all the closing costs now where’s the program available well it’s pretty much available everywhere but it’s the state of New York where my lens we’re except for New York if you need to buy a home with Maryland Delaware PA New Jersey of Virginia we can help you can give us a call at three zero two seven zero three zero seven two seven or you can go online primary residential mortgage dot info and start the process there so it’s that’s kind of the program in a nutshell it’s a great program it’s going to open the doors for a lot of people that may not qualify for the other programs that are more restrictive so if you want to get started give us a call or apply online today and we’ll let you know what your options are before seeing you on the next update [Applause] [Music]
