COLUMBUS – July 9, 2008 – Now is a great time to consider homeownership through the Ohio Housing Finance Agency’s (OHFA) First-Time Homebuyer Program. A new incentive by the Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA) allows Ohioans the opportunity to purchase a HUD home for a $100 down payment, receive a $2,500 sales allowance and take advantage of an attractive interest rate for an FHA mortgage through OHFA’s program.
Homebuyers can use the sales allowance on home repairs, closing costs or to lower the mortgage amount. The list of available HUD homes can be found at www.nhmsi.com.
“With so many homes on the market, this additional incentive will provide a valuable opportunity for potential homebuyers,” said Doug Garver, Executive Director for the Agency. “Homeownership is still within reach for many, and by using these programs it is even more affordable than before.”
The First-Time Homebuyer Program offers low, competitive mortgage rates to homebuyers through conventional loans or FHA, VA and USDA-RD government loans. OHFA partners with lenders throughout the state to make these attractive loan options available to borrowers. Each of these 30-year, fixed-rate loans is available to consumers based on their household income. The program offers down payment assistance with the option of a second mortgage in an amount up to 4 percent of the purchase price of the home or a grant in an amount equal to 3 percent of the purchase price of the home. OHFA increased the maximum sale price permitted in the program effective June 1.
In addition, first-time homebuyers who are active military personnel or military veterans, firefighters or emergency medical technicians-paramedics, healthcare workers, police officers or teachers can receive a 30-year, fixed-rate mortgage at a quarter of a percent less than OHFA’s rate for the First-Time Homebuyer Program. Since the Ohio Heroes Program began in March, over 600 Ohioans have used it to purchase a home.
Traditionally, borrowers qualify for the program by being a first-time homebuyer, not owning their principle residence for at least three years or purchasing a home in a targeted area.
Consumers interested in the First-Time Homebuyer Program, refinancing options or homeownership information should visit www.ohiohome.org or call 1-888-362-6432.
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OHFA utilizes federal and state resources to provide housing opportunities for families and individuals through programs designed to create, preserve, and manage affordable housing throughout the State of Ohio. The Agency is a self-supporting quasi-public agency governed by an eleven-member board, nine of whom are appointed by the Governor and confirmed by the Senate. Two additional seats on the board, by statute, are reserved for the Director of Development and the Director of Commerce or their designees, and both serve as ex officio voting members.