Is Down Payment Assistance Coming Back?

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I am a single mother of 3 I am trying to by my first home and move my kids to a better enviroment. I have only a few days to close on my home but we are still waiting on the contract . I would love for the program to continue to buy me some time if not we have to continue living in a unsafe in enviroment until I can save enough money for a downpayment and with the economy and gas prices its going to be harder. I am a hard worker and always pay my bills and since my divorce it took me a while to build my credit because nothing was in my name, so i hope and pray that people like me can continue to have a chance at a better life for our and our kids.

Latoya Hendricks of GA 8:45PM September 24, 2008

So, this big argument against DPAs is that they are fraudulent and they artificially escalate values?
1. Its clearly not fraud as they act within the limits of the law...PERIOD. It has been reviewed in court and they are not commiting any fraud.
2. If DPAs artificially escalate the sales price, wouldn't seller concessions do the same?
Why are you opposed to keeping the door to home ownership out their for the middle class? The poor and moderate income folks get government assistance. As a tax payer, I really don't feel like contributing my money to help them.
There should be stricter guidelines, including minimum credit scores, stricter ratio requirements, and risk based adjustment to the UFMIP and anual MIP. Elimination would be another serious blow to our housing industry and the economy.
I am already seeing a reduction in business because of this program being eliminated.

Bob Lowery of 10:37AM September 22, 2008

I just met with our lender yesterday because we found a home to purchase. Our family makes a great salary but we still do not have money to put down on a home to purchase. We have never been late on a credit card payment, house payment, etc. We need to bring back this down payment assistance program asap to help honest, hard working families out so they can contribute to middle class america. My husband and I have not gone any further in the loan process because we are waiting back to hear from congress to see when the DPA program will be back, otherwise, we cannot buy a new home.

brooke of TX 11:05PM September 19, 2008

I think that it is a great thing for first time home buyers to be able to have this assistance. IF FHA only allows up to 6% seller contribution for closing costs, they should change it to a total of 6% down payment and closing costs combined, whatever the amount maybe. If any difference than the buyer would have to bring some money to closing, and it would be much less.
Also, does anyone know when Congress will decide when they will come to a decision on this down payment assitance.
Thanks,

Dinorah Czigler of NC 5:10PM September 19, 2008

I just thought you should know that there is a website dedicated to saving downpayment assistance. The address is www.DPAGroundswell.org. This site contains an area where you can email comments/letters to your elected officials letting them know you want to help save DPA...I did! Without DPA, my family would still be renting. But because we participated in a reputable downpayment assistance program, we have been homeowners for over 8 years! I want DPA to stick around, because when I sell my home, I want to offer the same opportunity I received.

workingmom08 of CA 10:21AM September 19, 2008

I just thought you should know that there is a website dedicated to saving downpayment assistance. The address is www.DPAGroundswell.org. This site contains an area where you can email comments/letters to your elected officials letting them know you want to help save DPA...I did! Without DPA, my family would still be renting. But because we participated in a reputable downpayment assistance program, we have been homeowners for over 8 years! I want DPA to stick around, because when I sell my home, I want to offer the same opportunity I received.

workingmom08 of CA 10:20AM September 19, 2008

http://www.dpagroundswell.org/
Watch another Video: Hip Hop Mogul Russel Simmons Supports DPA
Since 1997, downpayment assistance has helped more than one million working-class families realize the dream of homeownership.
Now Washington politics is threatening that dream

getdownpayment of CA 9:47AM September 19, 2008

What downpayment assistance? Yes they allowed the 6% up until now, but it is the borrower who in actuality pays the price. You talk of people not having anything vested so it is easy to walk away, well for some of us this is the only way to be able to own a home. Not to mention one of the few tax write-offs the working people get. Take our, and likely most peoples senerio. My husband and I make what is known as a decent living. We pay our taxes. We don't raise our kids using taxpayers money. We paid for our education on our own dime. Yet because of this "income" we never qualify for any "low income programs". That's fine, so be it. Yet we don't have rich relatives and even if we did, we believe that everyone should pay their own way. Close that door. We paid for everything we got. We did it the old fashioned way, with a whole lot of blood,sweat, and tears. On the other hand because we are paying our own way, coming up with what is now going to be 3.5% down payment and 3% closing cost on a FHA loan, we just make too little to come up with that 6.5% to purchase a home. On a $300,000.00 home that comes to nearly $20k. Is this really a free ride? Most people in our situation know the true cost. We are not asking for a hand out. Realisticaly it boils down to this, you have to inflate your sales price by the amount of money you need. In this "no money" down senerio that so many people are up in arms about really falls down to this. In order for you to buy a $300,000, you have to pay $318,000 to make a full price offer. This doesn't take into consideration that you may have to sweetin the deal because of multiple offers. Basically it is "I will pay you $18,000, by paying that much more for the home. This is so you can give me the money on paper, while I pay back this money for the next 30 years with interest. Not to mention we pay a premium. FHA already charges an up front Mortgage Insurance premium of 1.75%, plus a monthly Mortgage Insurance premium, based on credit score mind you. The average joe is paying for this "assistance". So in reality it is not a free ride. The fact is, that for us regular folks, these programs may be our only chance at homeownership in todays economy. We need this program!! The economy needs the average joe to make purchases. Are we going to just cater to the cash buyer,large down investor or the wealthy? Things will only get worse I assure you.

CMP of CA 11:48PM September 18, 2008

I have 2 offeres pending on homes which included the HART program. They will not make the deadline. I was so excited to finally in my lifetime, be able to purchse a home. Unless my offer is signed next week, I am out of luck. I don't have 15k as a down payment but I make good money. My family is not wealthly and I really wnated to earn this home on my own. It is really a downfall, I would say. Establishments are being bailed out by the government due to what they did with those fraudulent loans and they are still able to smile about it. And the taxpayers have to accomadate mistakes they made. Hopefully, Congress will agree on the part of the little people. Every little bit helps.

Jones in California of CA 10:03PM September 18, 2008

Understanding that abuses in the past did account for a large chunk of the currently defaulting mortgages, eliminating assistance for everyone is just too absolute. Especially as the economy begs for any growth at all- further restricting lending will simply remove one more vehicle which may be used to keep or even raise jobs in homebuilding related fields. Of course this type of program should be monitered properly- but if it can be implemented correctly and properly assessed for risk via credit score or whatever, it stands as a win win win for lenders, buyers, sellers, & those who are employed in connection with home construction.

BC of CA 7:07PM September 18, 2008