The Arizona Housing Financing Authority is back at it again implementing new first-time home buyer programs to assist
with the finance arm of a first home purchase.

Based on the right situation, the Arizona Mortgage Revenue Bond, can be a great niche product to help with that certain
homeowners who is needing some financial help with purchasing a home.  Even though their bond rate (4.99%) is not as
competitive as market rate, some of the benefits do outweigh the drawbacks.  Here are some of the criteria.

AZ Mortgage Revenue Bond Highlights
Down Payment assistance available up to 5% of the purchase price.  This can be used for down payment, and or closing costs
or a combination of both.

This is probably the biggest advantage to this program.  A secondary advantage is if you buy a home in a specific target area
the income is less restrictive.

Here are some of the drawbacks.  This program cannot be used in Pima or Maricopa County.  So it is primarily a great tool
to lend in rural housing communities.  The down payment assistance is not completely forgiven in the first 5 years.  It
drops 20% each year.  Rate is not as attractive.

Here are the basic requirements:  Product is used in conjunction with an FHA, VA and RD insured 30 year fixed rate products.

*Must be a first time homebuyer, plan to occupy as primary residence and not had prior ownership in the last three years
(certain census tracts located in various counties do not require applicants to be first time homebuyers while offering
higher income and sale price limits.)
* Borrower must contribute a minimum of $1,000.00 of personal funds
* Borrower cannot get any cash back or debt consolidation paid
* Borrower required to complete a home buyer education class
* Must meet program’s purchase price and income limits
* House payment/total payment to income ratios cannot exceed 31/43%
* Credit score for all borrowers must be at a 620 or above
* Independent professional inspection to be done on the property and obtain a home warranty
*Again this product will be a niche for that certain client.  Also understand that only 22 lenders in the entire state of
Arizona is set up to offer this product.  I like to share this because so many think there are not options anymore.  I
say find a mortgage lender who understands real options and will work with them.

Gary Miljour- Mortgage Lending for Tempe Arizona

Proceed with Confidence

Follow me: 

BK-0907366

Sunstreet Mortgage, LLC NMLS#145171

Gary Miljour Licensed Loan Originator NMLS#207208

Back in August 2008 I wrote a post (And You Really Thought You Can’t Get a Home with $100.00) about FHA HUD homes
having a special deal on certain properties that allowed only $100.00 down.  Well Folks FHA and HUD have decided to cancel this
program for the time being. The marketing company for Hud homes is Arizona is www.mcbreo.com.  They announced on
July 19, 2010 the incentive Expiration for Arizona and Nevada.

from mcbreo website: ” HUD’s $100 Down payment initiative will expire on July 31, 2010.  The $100 down payment was
for owner occupants (Any individual who purchases a HUD home as their primary residence for at least 12 months after
closing and who has not purchased a home from HUD as an owner occupant in the past twenty four months) purchasing a
HUD Home with FHA financing. This incentive will continue to be eligible for all contracts signed by seller by
July 31, 2010.  Contracts signed after the July 31,2010 deadline will not be eligible for the $100 Down payment incentive.”

This program was a good help to many buyers, and I am sad to see it disappear.  It seems like there are fewer and fewer
options for homeowners.

Gary Miljour- Mortgage Lending for Tempe Arizona

Proceed with Confidence

Follow me: 

BK-0907366

Sunstreet Mortgage, LLC NMLS#145171

Gary Miljour Licensed Loan Originator NMLS#207208

I know so many people that still do not realize that their ARM (adjustable rate mortgage) might not be broken.  I wrote about this way back in March 2008. Is your ARM (Adjustable Rate Mortgage) Really Broken? Most homeowners always assume that if they have an adjustable rate mortgage that their payment and interest rate is going to go upward.  Well due to rates being so low, this is actually the opposite.  If you are truly not sure if you have a broken “ARM”, please feel free to contact me and I will be happy to review your paperwork and help you find out.  The last client who thought they had a broken “ARM” saved $550.00 a month when the interest rate when down. 

Gary Miljour- Mortgage Lending for Tempe Arizona

Proceed with Confidence

Follow me: 

BK-0907366

Sunstreet Mortgage, LLC NMLS#145171

Gary Miljour Licensed Loan Originator NMLS#207208

Gary Miljour- Mortgage Lending for Tempe Arizona

Proceed with Confidence

Follow me: 

BK-0907366

Sunstreet Mortgage, LLC NMLS#145171

Gary Miljour Licensed Loan Originator NMLS#207208

Well it sounds like Down Payment Assistance might be back but with changes.  Until this does take effect I have been scouring through loan programs looking for good alternatives for clients with little or nothing down. 

The USDA Rural Housing Program is another viable mortgage option to help clients with nothing down. 

Here are the Pros:  100% financing, Zero Down.  No monthly Mortgage Insurance, FHA Mortgage guidelines.

Here are the Con’s:  Home must be in a rural housing area.  This is all of Pinal County and parts of Maricopa County.  So Queen Creek is in place.  Some income restriction apply.

Again, I think the mortgage lender who has workable options to help clients get into homes will win the business at the end of the day. 

Please call me if you are looking for some of these options to discuss your unique situation.