North Dakota is known for being a great place to settle down and raise a family; the unemployment rate and crime levels are the lowest in the nation and homes here are generally quite affordable. With the recent drop in oil prices, we continue to see the price of homes decrease. However, the benefits to relocating to North Dakota don’t stop there. We also ease the pain on your pocketbook by providing grants and programs for first-time home buyers. Keep reading to learn about the grants that may make your move just a little easier.
What is the USDA Rural Development Program?
The United States Department of Agriculture promotes rural development by offering 100% financing loans in specified rural areas in North Dakota. This means first-time home buyers don’t have to come up with a down payment in order to purchase a home, and opens the door for many potential home buyers for whom that down payment stands in the way between buying and renting. While closing costs must still be considered, these can often be worked into the offer to ensure the seller pays, which means the home buyer needs nothing down at closing. In order to qualify, the home buyers must have credit scores of 640 or higher and be purchasing a home in a specified rural area. More information and other requirements can be found on the USDA’s Rural Development Web Page.
What Is the Federal Housing Administration’s 203K Renovation Loan?
This great loan program offered by the Federal Housing Administration (FHA) provides first-time home buyers with the funds necessary to renovate foreclosures and fixer-uppers. Not only does this allow for the rehabilitation of more homes and prevent condemnation and destruction of homes, but it also improves the chances of banks breaking even on foreclosures as it increases the possibility of sale at the right price. Even better, it gives you, the home buyer, a better chance of finding something within your budget that you have the means to bring up to par. The total price of renovations must range from $5,000 to $30,000 in order to qualify for the FHA 203k Renovation Loan. To learn more about the 203k Renovation Loan, visit the FHA’s web page.
What Is the North Dakota Housing Finance Agency’s FirstHome Program?
Available to first-time home buyers and households who have not owned their own home for at least three year’s, ND’s Housing Finance Agency FirstHome Program assists low- to moderate-income households in purchasing a home by providing affordable loans. Income limits are fairly generous (as high as $84,600 per year for families less than three in some counties), but candidates must meet normal credit standards and the purchase price of the home must fall within the established limits. You can find out more here.
What Is the WNDHFA’s HomeAccess Program?
Designed specifically for certain at-risk populations including single-parent households, veterans, disabled, or elderly residents, the HomeAccess program promotes home-ownership by providing low-interest mortgage loans. In order to qualify, the applicant must be a single-parent of a child that resides in the home at least half of the time, a veteran or spouse of a veteran, disabled or the spouse of a disabled person, or 65 years of age or older or the spouse of someone who meets this requirement. Income, credit, and mortgage limits apply, but they are fairly generous in comparison to state averages. To apply, visit the NDHFA’s website.
What Is the North Dakota Roots Program?
This program is administered by the North Dakota Housing Finance Agency, and unlike other loan programs available, is specifically designed for moderate-income households who have owned a home in the past. Many states do not offer programs for previous home-owners or moderate earners, so this is a great reason to consider buy a home in North Dakota if you qualify. Income limits do apply, along with limits on maximum loan amount and minimum credit scores. To learn more, visit the North Dakota Roots Program Page.
What Is the NDHFA Major Home Improvement Program?
Similar to the FHA’s 203K Renovation Loan, the NDHFA Major Home Improvement Program provides low interest home loans designed to assist low to moderate earners in buying and renovating a home in North Dakota. Even better, this program extends to those who currently own a home in need of rehabilitation, as it can also be granted to refinance and renovate a home. To be eligible, you must live in the home following the renovation (this program is not designed for “flipping” homes for a profit) and meet income guidelines. You can learn more about qualifications here.
What Is the Targeted Area Loan Program?
The NDHFA’s Targeted Area Loan Program provides mortgage loans with up to one year of reduced interest for home buyers purchasing in a targeted area. While the specific address must be searched, counties that included targeted areas are Benson, McKenzie, Rolette, and Sioux counties in North Dakota. There are some income limits as well as minimum credit requirements. You can get all the details and search the address of your home to determine eligibility on the Targeted Area Loan Program Website.
What Is NDHFA’s Start Program?
The North Dakota Housing Finance Authority’s Start Program provides down payment and closing cost assistance. It is designed to help first-time home buyers receiving a HomeAcess, FirstHome, North Dakota Roots, Targeted Area Loan, or Major Home Improvement Loan in covering down payment and closing costs on the loan. You can apply for NDHFA’s Start Program here.
What Is the NDHFA DCA Program?
Created specifically for low-income, first-time home buyers, the NDHFA’s DCA Program provides down payment and closing cost assistant to families who meet income limits and buy homes that meet the requirements of the program. To read a full list of requirements and apply, navigate to the NDHFA’s DCA Program Summary.
Because North Dakota is committed to promoting home-ownership and making it a possibility for financially responsible residents at all income levels, buying a home here is within reach for nearly everyone!
2 Point Highlight
Because North Dakota is committed to promoting home-ownership and making it a possibility for financially responsible residents at all income levels, buying a home here is within reach for nearly everyone!
This program is administered by the North Dakota Housing Finance Agency, and unlike other loan program available, is specifically designed for moderate-income households who have owned a home in the past.
