City of Tempe Community Assisted Mortgage Program
Eligible applicants will receive assistance funds in the form of a zero-percent, non-amortizing loan. The amount becomes due in full upon sale, transfer of title, refinancing (for any reason other than a change in rate and/or term), or if it no longer serves as the borrower’s primary residence. Assistance funds will not exceed the difference between the maximum mortgage sustainable by the household and the purchase price of the property.
To qualify for assistance under the City of Tempe Community Assisted Mortgage Program, applicants must be first-time homebuyers whose annual household income is at or under 80% of the area median income. All buyers must apply for and secure a first mortgage and contribute $1,000 or 1% of the purchase price (whichever is greater)
Under the Community Assisted Mortgage Program, eligible property types include single-family homes, patio homes, townhomes, or condominiums. Any property purchased must be located within the City of Tempe and must be vacant or owner-occupied at the time of purchase offer. All homes must pass a City of Tempe Housing inspection prior to closing and not exceed HUD limits for Maricopa County.
*Seller-funded down payment programs were eliminated in the Housing and Economic Recovery Act of 2008, but states and local government agencies are still permitted to help borrowers finance their homes with second mortgages and grants. These agencies set different requirements that a borrower needs to meet in order to qualify for the grant programs, such as property location, and purchase price, and income limits.
Note: All figures mentioned above were accurate at the time of publication and may no longer be current. Visit the program website for updated information.
First-Time Homebuyer Programs in Arizona
The City of Tempe offers the Community Assisted Mortgage Program in an effort to encourage prospective buyers to choose Tempe as their home and increase the rate of homeownership within the city.
First-time homebuyer assistance programs and/or grants were researched by the team at FHA.com. Please note that all programs listed on this website may involve a second mortgage with payments that are forgiven, deferred, or subsidized in some manner until resale of the mortgaged property.
FHA.com's compilation is not a complete list, but it can serve as a starting point in your search for the down payment assistance program or grant for your situation. It is up to the consumer to contact these entities and find out the specifics of each program.
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