1. How Does the U.S. Department of Housing and Urban Development Help?
The U.S. Department of Housing and Urban Development has created multiple programs to help home buyers with various aspects of home buying including finding low-cost homes and home improvements. It’s only available in certain counties though, such as Allegheny, Berks, Beaver, Bucks, Dauphin, Delaware, Lancaster, Washington, and Westmoreland. For instance, in Reading, a city in Berks County, first-time homeowners can acquire a loan through the community to cover repairs. This can come in handy after a person purchases a home and realizes just how much is needed to get the home ready. Beaver County has a grant program implement for low-income individuals to make repairs to homes in an effort to prevent slums. The program works for public and privately own residences. Westmoreland County residents can benefit from the HOME Investment Partnership Program (HOME). HOME provides funding to construct, purchase and rehabilitate properties in Westmoreland County. HUD’s housing choice voucher program provides monetary assistance to very low-income families, the disabled, and the elderly to be able to afford sanitary and safe housing in a townhouse or single-family home that they’ll be able to own. Habitat for Humanity works with families in nearly every county to find housing.
2. How Does FHLÂ Bank Pittsburgh Help?
The Federal Home Loan (FHL) Bank Pittsburgh serves all of Pennsylvania and supplies home buyers with low-rate loans and even grants. They match whatever you put down three to one. For instance, if you put down $1,500, they’ll provide you with a grant of up to $4,500 to assist with the price of the purchase. However, there’s a maximum limit of $5,000 per home buyer. On grants, you don’t have to pay them back, and interest doesn’t accrue. The only way you’re responsible for paying anything back is if you sell your home within five years of purchasing it. This rate is prorated based on how many years you sold it prior to five years. The Affordable Housing Program provides low-interest loans and free grants to eligible participants. The Community Lending Program (CLP) provides loans for both repairs and the purchase cost.
3. Pennsylvania Housing Finance AgencyÂ
The Pennsylvania Housing Finance Agency (PHFA) gives first-time home buyers the opportunity to acquire a low-interest loan that comes with a 30-year payoff agreement. Additionally, this particular program has loan options to aid with closing costs and down payments. PHFA’s Purchase Improvement Loan allows you to borrow money to make repairs that increase the home’s value. If you’re disabled or are planning on having a disabled individual living in the home, you may borrow money through an Access Home Modification Loan to make necessary changes for the disabled individual. Loans go through participating lenders such as Allegheny Valley Bank of Pittsburgh, S & T Bank, Wells Fargo Home Mortgage, Dollar Bank, and Huntingdon Valley Bank. PHFA’s Comprehensive Housing Counseling Initiative has counselors to discuss with you your credit score and educates you on your options.
4. Keystone Home Loan Program
The Keystone Home Loan Program gives first-time home buyers loans financed by the Federal Housing Administration (FHA) or guaranteed by the Department of Veterans’ Affairs (VA) or Rural Development (RD). This program doesn’t have income or purchase price limits. You will have to follow the guidelines imposed by the RD, VA, or FHA. Keystone Home Loan Programs can determine which loan provider is best for your situation, which takes into consideration your credit score and cash savings. You might be eligible for a 30-year, low-rate mortgage.
5. Professional Mortgage Consultants Â
Professional Mortgage Consultants (PMC), licensed by the PA Dept. of Banking and part of the National Association of Mortgage Professionals, has the option of 0 percent financing for first-time home buyers. You can borrow any amount up to the property appraisal amount. You don’t need a down payment with this loan since you have the option to borrow it as well.
6. Access Down Payment and Closing Cost Assistance Program
The Access Down Payment and Closing Cost Assistance Program gives homebuyers an interest-free loan. It solely is meant to cover the down payment and closing costs. The minimum loan amount is $500 and may be used along with other state assistance.
7. Renovate and Repair Loan Program
The Renovate and Repair Loan Program is a program that assists both first-time home buyers and current homeowners in paying for repairs or renovations of the home. The loan must be used for a purpose approved by the association such as removing or fixing code violations, hooking up to the water or sewer system, improving or installing a septic tank or well, or upgrading the home for an elderly or disabled individual. Other approved reasons include making a home more energy efficient or safer.
8. Purchase Improvement Loan Program
Borrowing from the Purchase Improvement Loan Program provides you with the money you need to do improvements. Loan amounts vary between $1,000 and $15,000 for first-time home buyers. The program can be used in conjunction with other PA programs and will reduce your need to take out a high-interest loan with a short repayment period.
 County Programs
Each county and even some towns have their own programs. Some are grant programs and others are loan programs. You’ll be able to receive money for the purchasing costs as well as improvements you want to make on the house including making it more energy efficient.
2 Point Highlight
http://portal.hud.gov/hudportal/HUD?src=/states/pennsylvania
http://www.fhlb-pgh.com/housing-and-community/programs/
http://www.phfa.org/consumers/homebuyers/
http://www.phfa.org/consumers/homebuyers/khlprograms.aspx
http://www.pmc-pa.com/purcfir1.html
