The Delaware State Housing Authority offers the Second Mortgage Assistance Loan (SMAL). This program provides eligible applicants with a loan of up to $8,000 that can be put toward down payment and closing cost expenses associated with mortgage transactions.

FHA Mortgage Loan Rates

June 21, 2018
FHA Rates for June 21, 2018
Offering 30 Year Fixed Mortgages
Offering 15 Year Fixed Mortgages
Use our mortgage calculators
to see what you can afford!
FHA.com is a private company, is not a government agency, and does not make loans.

Prequalify Now!

Compare mortgage rates for your refinance or home purchase loan.

CHOOSE A LOAN TYPE

then
get
your

FREE CREDIT SCORE

Do you know what's on
your credit report?
FHA.com is a private company, is not a government agency, and does not make loans.

Second Mortgage Assistance Loan (SMAL)

Financial Assistance for Homebuyers in Delaware

One of the major road blocks that people face when buying a home is the large upfront costs, such as the down payment and closing costs. In an effort to help potential homebuyers overcome this hurdle, the Delaware State Housing Authority offers the Second Mortgage Assistance Loan (SMAL). This program provides eligible applicants with a loan of up to $8,000 that can be put toward down payment and closing cost expenses associated with mortgage transactions.

Available Assistance
DSHA’s Second Mortgage Assistance Loan comes with a 3 percent simple interest rate, and payments that are deferred for 30* years. Payments are required beginning in the 361st month. The balance is due upon refinancing, sale, transfer of title or when the property is no longer the homebuyer’s primary residence, whichever occurs first. Borrowers can use the $8,000 to cover the down payment and closing costs, or to reimburse themselves for other expenses incurred prior to closing, such as appraisal, application fees or earnest money down payment provided when signing the sales contract.

Eligibility Requirements
In order to qualify for DSHA’s Second Mortgage Assistance Loan, borrowers must meet all the requirements for the Homeownership Loan.

Homebuyer Education
Borrowers must also attend and complete a homebuyer education course offered by a HUD-approved housing counseling agency. Additionally, the annual household income of all borrowers must fall within the program limits.

Property Guidelines
The Second Mortgage Assistance Loan comes with limits for maximum purchase price based on county and number of dwelling units.

Kent County:
1 unit: $248,098
2 unit: $317,655
3 unit: $383,962
4 unit: $477,135

New Castle County:
1 unit: $349,411
2 unit: $447,283
3 unit: $540,690
4 unit: $671,938
 
Sussex County:
1 unit: $291,176
2 unit: $372,752
3 unit: $450,552
4 unit: $559,933

Down Payment Grants in Delaware

The Delaware State Housing Authority (DSHA) recognizes that many individuals can afford monthly mortgage payments, but don’t have the funds for a down payment on a home. In order to help people get over this hurdle, the DSHA offers eligible homebuyers down payment assistance in the form of the Advantage 4 Program.

The New Castle County Department of Community Services offers first-time homebuyers the Down Payment Settlement Program. This program comes in the form of a deferred payment loan, to help cover down payment and closing/settlement costs associated with the purchase of a new home.

The New Castle County Department of Community Services promotes homeownership through the ReVaMP program, or "Remediating, Vacancies Making Progress.” This program helps to cover the down payment and closing costs for vacant homes in New Castle’s identified areas. 

The Delaware State Housing Authority offers the Second Mortgage Assistance Loan (SMAL). This program provides eligible applicants with a loan of up to $8,000 that can be put toward down payment and closing cost expenses associated with mortgage transactions.

FREE CREDIT SCORES   From All 3 Bureaus  

Do you know what's on your credit report?

Learn what your score means.


FHA.com Reviews

FHA.com is a one-stop resource for homebuyers who want to make the best decisions when it comes to their mortgage. With our detailed, mobile-friendly site, individuals can access information about different FHA products, the latest loan limits, and numerous other resources to make their homebuying experience easier. Take a look at some of the reviews from other FHA.com visitors!