Handing Over The Keys

Homebuyers in the Scottsdale and Phoenix areas need to be aware of a number of programs offering down payment and closing cost assistance. The availability of these programs coupled with slowly rising interest rates make this a perfect time for buyers in Maricopa County to enter the market.

Home in Five Advantage Mortgage Origination Program:

A long list of lenders are already participating in this program which is jointly sponsored by the Industrial Development Authorities of the City of Phoenix and County of Maricopa. Under the terms of Home in Five, qualified borrowers can obtain 30-year fixed rate FHA and VA mortgage loans through the participating lenders. These loans traditionally allow for smaller down payments. More significantly, the program includes a 5% non-repayable grant to assist buyers with the down payment and closing costs.

The Home in Five program is available to eligible borrowers purchasing homes and condos in Maricopa County up to a maximum purchase price of $300,000. For income limitations and other eligibility requirements, buyers should visit www.mcida.com.

BBVA Compass Bank Buyer Programs:

We have also seen several very attractive incentive programs available through BBVA Compass Bank. Homebuyers working with a Compass Bank mortgage specialist will have access to traditional FHA and VA loans as well as special programs for first-time homebuyers, The programs offer incentives such as a three month deferral of principal and interest, low down payments and waivers of loan origination fees and requirements for private mortgage insurance (PMI).

Compass also offers a unique program called “Everyday Heroes”. This program features very low down payments, PMI waivers and relaxed borrower qualification rules and targets teachers, public safety employees, healthcare workers and military personnel. We believe this is a great way to say “thanks” to these everyday heroes.

Foreign National Buyers:

There is also good news for foreign national buyers looking to invest in real estate in the U.S. Many foreign investors have traditionally chosen Arizona for their U.S. vacation and investment properties. Recent changes in the law have opened the doors to the foreign investor market so that anyone with a sufficient down payment and income can borrow to purchase a U.S. Home.

Government and lender sponsored programs have helped many homebuyers enter the market and buy the home of their dreams. The incentives are constantly evolving so it’s important to stay informed and up-to-date. Programs offering down payment and closing cost assistance are not always available. So, if you are planning to purchase a home in Scottsdale or Phoenix in 2014, congratulate yourself on your excellent timing!