Alexandria VA First Time Homebuyer Programs and Loans
Alexandria VA Real Estate - When you're looking to buy your first home in Alexandria VA, you may be pretty overwhelmed with learning all there is to know about your financing options. One option to consider is the Homeownership Assistance Program (HAP) offered by the City of Alexandria Office of Housing where up to $50,000 can be used toward the purchase of properties that are made available by Rebuilding Together Alexandria, part of a nationwide home repair and rehabilitation initiative dedicated to keeping low-income homeowners living in safety, warmth, and independence through volunteer services..
Who is eligible for the Homeownership Assistance Program (HAP)?
This program is limited to current residents and/or employees working within the corporate limits of Alexandria City. Applicants cannot currently own any real estate at the time of initial application and must meet income requirements.
How much money is available?
Funding is limited so if you are planning to buy a home in Alexandria VA in the next 3-4 months, you are encouraged to apply now. The funds used for Alexandria City's homebuyer assistance programs are federal funds that are specifically allocated to be used to assist low- to moderate-income families in purchasing a home. The total amount of assistance is based on individual qualifications, but a maximum of $50,000 is available to be used toward your home purchase.
How can the funds be used?
When purchasing a home offered by Rebuilding Together Alexandria, the funds for HAP can be used toward closing costs, toward the down payment of your mortgage loan, or to pay down the principal on the first trust loan on the property.
Is this a loan or is this cash that will be paid to me directly?
This is a loan, a second trust or second lien, that will be attached to the property that you purchase. At closing, the funds are delivered to the settlement company in addition to the funds that your primary lender will provide for your mortgage loan.
What are the steps to apply for the Alexandria City Homeownership Assistance Program (HAP)?
To see if you are eligible for the HAP funds, you must first complete the Pre-Screening Form and submit it to the Office of Housing. A representative will complete an employment verification to confirm your income to make sure it falls within the guidelines. Once your pre-screening form has been approved:
What properties are available for purchase?
Only homes that have been made available by Rebuilding Together Alexandria are eligible for purchase. These home types can include condos, townhomes, duplexes, rowhomes, and single-family detached homes. While these homes are listed in the Multiple Listing Service (MLS), contact me directly through my website or by phone at 703-623-8759 for a current list of homes owned and offered by Rebuilding Together Alexandria.
Is there a cost for this program?
When you meet with your lender to get approved for your VHDA loan, you may qualify for the zero down payment program. However, all participants must contribute a minimum of $2000 of their own funds toward the purchase transaction. This money is not paid to Alexandria City or Rebuilding Together Alexandria, but it is your contribution toward the purchase usually in the form of the earnest money deposit at the time of contract.
For more information about Alexandria VA first time homebuyer programs, please call me at 703-623-8759.
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