Home Advantage Down Payment Assistance Loan Program
Financial Assistance for Homebuyers in Washington
Available Assistance
The Home Advantage Down Payment Assistance Loan Program comes in the form of a second mortgage with a zero percent interest rate. The program is used in conjunction with the Home Advantage first mortgage, and all payments are deferred for 30 years. Eligible households may qualify for a maximum loan amount of up to 4 percent of the total loan amount in all counties.
Eligible households that meet the needs-based requirement completed by a loan officer, and fall under certain income limits (shown below) may qualify for a loan amount up to $10,000 at a 1percent interest rate, payment deferred for 30 years. *Veterans are eligible for the $10,000 loan amount; there is no need-based assessment.
Eligibility Requirements
In order to be considered eligible for the Home Advantage Down Payment Assistance Loan Program, all applicants must meet certain requirements. Homebuyers' annual household income must not exceed the set income limit: $97,000. Applicants must attend a Commission-sponsored homebuyer seminar before reserving funds under the Home Advantage Program.
Income Limits
King/Snohomish: $96,000
Kitsap: $77,100
Island: $77,300
All Other Counties: $76,500
Note: All figures mentioned were accurate at the time of publication and may no longer be current - visit the program website for updated information.
The purpose of this program is to make funds available to eligible applicants who are interested in purchasing a home but need financial help to pay the upfront costs, which include the down payment, as well as the closing costs and prepaid items required to obtain homeownership. These expenses can add up to a substantial amount, and the inability to pay it might keep people stuck in a renters trap.
*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.
Down payment 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.
Down Payment Grants in Washington
ARCH East King County Downpayment Assistance Loan
The ARCH East King County Downpayment Assistance Loan Program helps qualified borrowers purchasing a home or condominium within an ARCH member city. It provides up to $30,000 in down payment assistance at 4 percent simple interest.
Bellingham Downpayment Assistance
The Washington State Housing Finance Commission offers residents of Bellingham the Bellingham Downpayment Assistance program with up to $40,000 in down payment and closing cost assistance. Payment can be deferred for 30 years at 3% simple interest.
Home Advantage Down Payment Assistance Loan Program
The Washington State Housing Finance Commission offer homebuyers the Home Advantage Down Payment Assistance Loan Program, a second mortgage with a zero percent interest rate and payment deferred for 30 years that combines with the Home Advantage first mortgage.
HomeChoice Down Payment Assistance Program
HomeChoice is a down payment assistance program offered by the Washington Housing and Finance Commission. It combines with the House Key and Home Advantage first mortgage loan programs.
Opportunity Downpayment Assistance Loan Program
The Washington State Housing Finance Commission offers individuals the Opportunity Downpayment Assistance Loan Program, a second mortgage loan program with a 1 percent interest rate, with the payment deferred for 30 years.
Pierce County Downpayment Assistance Program
This program is for qualified borrowers purchasing within the Pierce County limits, outside of the Tacoma, Lakewood, Bonney Lake, Auburn, and Pacific city limits. The loan amount goes up to $24,900, with payments deferred for 30 years, at 4 percent simple interest.
Seattle Downpayment Assistance Program
Under this program, qualified borrowers purchasing within the city limits of Seattle are allowed up to $45,000 in assistance with payments deferred for 30 years, at 3 percent simple interest. Funds may be used for down payment and closing costs.
Tacoma Down Payment Assistance Program
Qualified borrowers within Tacoma city limits are allowed up to $20,000 in down payment and closing cost assistance with payments deferred for 30 years, at 4 percent simple interest. The borrower’s minimum down payment requirement is $500.
Veterans Downpayment Assistance Loan Program
The Washington State Housing Finance Commission's Veterans Downpayment Assistance Loan Program offers down payment assistance in the form of a second mortgage loan to Washington State veterans who have served our country.
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