STATEWIDE PROGRAMS

Homebuyer Dream Program

Assistance Available:
As of July 2019, participating member banks are offering qualified borrowers up to $14,500 in financial assistance to defray the cost of downpayment or closing costs.

Qualifications:
You must be a first time homebuyer (have not owned a home in 3 years). You must complete a homebuyer counseling program. You are required to work a minimum of 32 hours per week. You must have a minimum of $1000 in personal savings. The home you purchase must be located in New York, New Jersey, the U.S. Virgin Islands, or Puerto Rico. 1-4 unit homes, condominiums, cooperatives, and manufactured housing permanently affixed to a foundation are eligible.

THE HOMEBUYER DREAM PROGRAM IS CURRENTLY CLOSED. IT WILL REOPEN IN THE SPRING OF 2020.

State of New York Mortgage Owners (SONYMA) Downpayment Assistance Loan

Assistance Available:
Borrowers using the SNOYMA mortgage program have access to 3% of the purchase price (a maximum of $15,000) or $3000, whichever is greater for downpayment and closing costs. This is a zero interest, 10 year forgivable loan with no monthly payments. $1000 is the minimum loan amount.

Qualifications:
You are required to invest a minimum of 1% of the property value out of your personal funds. First time mortgages that include downpayment assistance will have a .375% higher interest rate than those without. This requirement does not apply to Homes for Veterans, Graduate to Homeownership, or Energy Star programs. The downpayment assistance loan must be repaid if you sell or refinance your home in the first 10 years. No cash back at closing is allowed.

CITY AND COUNTY PROGRAMS

City of New York
HomeFirst Down Payment Assistance

Assistance Available:
The New York City Housing Preservation & Development administers this 5 borough HomeFirst Down Payment Assistance program offering up to $40,000 in financial assistance for downpayment and closing costs. This is a 10 year, forgivable except in the event of the borrower selling or refinancing the property or not occupying the property as a primary residence. The loan must be repaid in full if the borrower is found to have given false information on the application.

Qualifications:
You must have a minimum credit score of 620 or 580 for FHA mortgages if the lender approves. Your debt to income ratio may not exceed 55%. Your housing cost to income ratio may not exceed 43%. The maximum loan to value is 97%. The purchase price may not exceed 95% of the area median purchase price.

1 to 4 family homes, cooperatives, and condominiums are eligible. The property must be located in one of New York’s five boroughs: Bronx, Kings, Queens, New York, and Richmond. You must meet the income requirements.

City of Albany
Home Acquisition Program (HAP)

Assistance Available:
The Albany Community Development Agency oversees the Home Acquisition Program that assists homebuyers with downpayment and closing costs. The assistance is in the form of a 5 year, prorated, deferred loan. A 2nd mortgage and home agreement is placed on the property to secure the loan. The loan is deferred until the property is sold, transferred, or the borrower dies. The loan becomes immediately due and payable if the borrower fails to occupy the property as the primary residence.

Qualifications:
The maximum annual household income requirement is 80% of the area median. For a family of 4, for instance, that amount is currently $69,100. If you have more than $40,000 in liquid assets, you are not eligible for the program. The maximum purchase price may not exceed 95% of the area median purchase price. For a single family dwelling that amount is currently $194,000. There are no neighborhood restrictions.

City of Troy
Homebuyer Incentive Program

Assistance Available:
TRIP’s HomeOwnership Center manages this Homebuyer Incentive Program (HIP) offering $15,000 to $20,000 to income eligible homebuyers to help defray the costs of downpayment and closing.

Qualifications:
You must be a first time homebuyer. Your annual income may not exceed 80% of the HUD area median. You must have a minimum of $1500 in untouched savings for 3 consecutive months when you apply for the program. You must sign a 10 year grant enforcement. You are required to complete a pre-purchase program before applying for the program.

The property purchased must be within the city limits of Troy. The purchase price may not exceed 95% of the area median purchase price. 1 and 2 unit properties are eligible. The property to be purchased will be inspected for code compliance and lead based paint hazard.

County of Rensselaer
Homebuyer Program (Small Cities)

Assistance Available:
TRIP’s HomeOwnership Center manages this Homebuyer Program through Rensselaer County Housing Resources. It offers $15,000 to $20,000 to income eligible homebuyers to help defray the costs of downpayment and closing.

Qualifications:
You must be a first time homebuyer. Your annual income may not exceed 80% of the HUD area median. You must have a minimum of $1500 in untouched savings for 3 consecutive months when you apply for the program. You must sign a 10 year grant enforcement. You are required to complete a pre-purchase program before applying for the program.

The property purchased may be anywhere in Rensselaer County as long as it is outside the city limits of Troy. The purchase price may not exceed 95% of the area median purchase price. 1 and 2 unit properties are eligible. The property to be purchased will be inspected for code compliance and lead based paint hazard if the family purchasing the property includes a child.

City of Schenectady
First Time Homebuyer Program - Second Mortgage Program

Assistance Available:
The Second Mortgage Program offered by the City of Schenectady offers a loan of up to 10% of the purchase price to assist with the costs of downpayment and closing. The interest rate is currently 4% over a period of 5 years. 75% of the loan is forgivable if the borrower lives in the home for a minimum of 5 years.

Qualifications:
You must meet the federal eligibility guidelines and be approved for a 90% loan from a mortgage lender. You must complete a homebuyer education course. 1-3 unit residential properties are eligible. All properties purchased must pass a certificate of occupancy and lead based paint hazards clearance. This inspection is paid by the borrower.