Down Payment Assistance Program Overview
| Program Name | Eligible for DPA | Additional Benefits |
|---|---|---|
| First-Time Homebuyer | Yes | 30-year fixed-rate loan |
| Homeward Bound | Yes | Fixed-rate mortgage options |
| Police and Firemen’s Retirement | No | Specialized mortgages for public servants |
| First Generation Homebuyer | Yes | Additional support for first-generation buyers |
| HFA Advantage | Yes | Low mortgage insurance costs |
Welcome to the Down Payment Assistance Program offered by the New Jersey Housing and Mortgage Finance Agency (NJHMFA). This program is designed to help make the dream of homeownership a reality for first-time homebuyers in New Jersey. Here, we provide a detailed overview of the program, highlighting how it can assist you in securing your new home.
What is the Down Payment Assistance Program?
The NJHMFA Down Payment Assistance Program (DPA) provides a significant boost to first-time homebuyers by offering financial assistance for down payments and closing costs. Understanding the challenges that come with the initial costs of buying a home, this program aims to reduce the financial burden for new homeowners.
Key Features of the Program
- Financial Assistance: Offers up to $15,000 in assistance, which can be a game-changer for many first-time buyers. See first generation buyers for the up to $22,000.
- Forgivable Loan: The assistance is provided as a second mortgage but is forgivable, meaning it doesn’t need to be repaid if certain conditions are met.
- Zero Interest: The loan has no interest and requires no monthly payments.
- Wide Coverage: Assistance amount is based on the county of the property, ensuring a broad reach across New Jersey.
Eligibility Criteria
- First-Time Homebuyer: Applicants must be first-time homebuyers, defined as individuals who have not owned a home in the past three years.
- All programs: qualify except for Police & Firefighter.
- Primary Residence: The purchased property must be occupied as the buyer’s primary residence.
- Income Limits: There are maximum household income limits, which vary by county and family size.
- Credit Score Requirements: Applicants must meet minimum credit score criteria.
- Mortgage Requirement: The DPA must be paired with a qualifying NJHMFA first mortgage loan.
Why Choose the Down Payment Assistance Program?
- Reduced Initial Costs: Significantly lowers the barrier to homeownership by covering a substantial part of the down payment and closing costs.
- Homeownership Accessibility: Makes owning a home more accessible, especially for those who find the initial investment challenging.
- Support and Guidance: Advisors Mortgage provides expert guidance throughout the application process, ensuring you understand every step.
Next Steps with Advisors Mortgage
At Advisors Mortgage, we are committed to guiding you through the nuances of the Down Payment Assistance Program. Our expert team is ready to assist you in evaluating your eligibility, navigating the application process, and taking the first steps towards owning your dream home.
Contact us today or call 866-761-7979 to learn more about how we can help you leverage the Down Payment Assistance Program for your home purchase in New Jersey.
