Quickdown Program
Loan Assistance Programs Canceled in 2008
Elimination of Non Profit Down Payment Assistance: On July 30, 2008, President Bush signed the Housing and Economic Recovery Act of 2008 which prohibits seller-funded DPA (Down Payment Assistance) for loans backed by the Federal Housing Administration. Prior to this bill, the seller could contribute up to 6% to the buyer to cover either a down payment or closing costs on an FHA loan. The changes took effect on Oct. 1, 2008. We provide this information for reference only. These grants are no longer available.
NEW: Down Payment Assistance Programs for 2020
Quickdown is a program that works with non-profit agencies to provide down payment assistance. Home buyers who benefit from Quickdown are those who qualify for approved or pre-approved FHA home loans. This program is designed for those who want to buy a home but are "cash challenged" and can't afford the down payment. Quickdown Home buyers:
- Can't afford to purchase a home without down payment assistance
- Must use assistance funds for down payments only.
- Are often first-time home buyers or those who can't qualify for a conventional mortgage.
Quickdown requires the seller's participation, but does not work in direct contact with the seller. Ask your loan officer and/or real estate agent on how to get a willing seller involved in the closing of a home purchased with an FHA loan with assistance from Quickdown. If you have found a seller familiar with Quickdown:
- Make an offer on the home you wish to buy.
- Once the offer is approved, contact your loan officer and ask about using the Quickdown assistance program for the down payment.
- Your loan officer applies to Quickdown on your behalf.
If you are interested in using Quickdown, your loan officer must file an application for pre-approval, so it's important to decide on using this down payment assistance program as early as possible to avoid delays in processing and getting your funds in time to close the sale using your FHA home loan.
Down payment assistance programs generally require the seller to pay a fee to participate. This fee is considered a payment for services rendered and not a tax-deductible charitable contribution.
Since this program is no longer available, we recommend that you get pre-approved for a low down payment FHA home loan.
Discontinued Down Payment Grant Programs:
SEE YOUR CREDIT SCORES From All 3 Bureaus
Do you know what's on your credit report?
Learn what your score means.
FHA Loan Articles and Mortgage News
September 18, 2020 - Are you thinking about buying a home, or considering applying for a construction loan to build a house on your own lot? There are some important questions to ask about home loans that could determine whether you buy an existing construction house or decide to build your own.
September 14, 2020 - What are the FHA loan rules for buying land as part of a construction loan? Not all borrowers own their own land. Ehen you want to build on your own lot, you may need to purchase the lot as part of the loan.
September 11, 2020 - Cash-Out Refinance loans allow cash back to the borrower after the costs of the new loan have been satisfied and the original loan has been paid off. These refi mortgages can be issued by conventional lenders and through government-backed loan programs like the FHA.
September 8, 2020 - Why do lenders deny home loan applications? This is a good question to ponder when you are in the planning stages of a construction mortgage loan application, condo loan application, or you want to buy a multi-unit home.
September 6, 2020 - The VA loan benefit includes the ability to build a home on your own land using a VA One-Time Close construction loan. VA One-Time Close loans allow you to build a house on your own land or purchase land in conjunction with building a home.
