First Time Homebuyer Looking for a Grant: Let the Government Help

One of the largest initiatives of the Federal, State and Local Government is to spurn home buying across the country. Reasons are simple. Larger tax base and owner occupants are more than likely going to take care of what they own versus a landlord. This now more than ever with the rising foreclosure rate that has widely been publicized is a key to stabilizing the current state of affairs on the stock market for the short term and for the long term bettering neighborhoods for years to come. I have consolidated a number of resources below that will assist you in locating the best program for you and your family to move into the home that you always wanted, at the interest rate that you want with down payment and closing cost assistance (grants and forgiven loans in many cases) that you need to make that a reality.

Do you need good credit? In some cases yes. Will a non-profit organization, lending institution or the government help you with bruised credit? Absolutely! Just be upfront and honest and don't hide that you are having credit difficulties. Believe me I know that more than likely have been turned down before and are apprehensive to open yourself up to more shame. There are a number of self help programs out there that if you are willing can turn your credit situation around and point it in a constructive direction. Remember, real estate is good debt. Don't worry that you are bringing more debt into the situation. Just be smart and do your research on the home that you are going to buy, get a fixed interest rate, get a mortgage within your comfort zone and work with professional real estate agent to ensure that you are set for years to come. Before you start shopping for a home, get pre-approved so you know what you can afford and you are not wasting your time looking at homes that are outside your range. You also maybe surprised at how much home you can afford. This boils down to the rent that you are paying every month to a landlord to pay their mortgage and make them wealthy is going for naught. Put that money that you earn to use and place it in an investment that is worthwhile.

Below are some of the better options out there to assist you from the government but not all of them. I would contact all of them that are relevant and play them off each other and see which one fits your needs the best. Be mindful of the qualifications for each program and also the terms and conditions. Always consult legal advice if not sure. Happy hunting and let that dream home become a reality:

Federal Government

American Dream Downpayment Initiative- http://www.hud.gov/offices/cpd/affordablehousing/programs/home/addi/

Rural Housing Service- http://offices.sc.egov.usda.gov/locator/app

HUD- http://www.hud.gov/buying/index.cfm

Gift Programs (Please review how these programs work carefully)

HART- http://www.hartprogram.com/staging/nuke/index.php

AmeriDream- http://www.ameridream.org/

Nehemiah- http://www.getdownpayment.com/

State Housing Finance Agencies (Fantastic Resource)

http://www.ncsha.org/section.cfm/4/39/187

City and County Government

Some counties and most cities offer a program. They are normally offered either through the Community Development, Neighborhood Housing or the Planning office in some cases. The programs offered range greatly in the assistance that they offer from locality to locality. If possible, don't limit yourself because the county of city next door may offer a much better option. Below is a link to locate the government web sites most efficiently:

http://www.statelocalgov.net/

Non-Profits

There are numerous housing organizations across the country that work with homebuyers. More than likely if you are looking to buy in a medium to large city there are several within you area that offer different programs from the locality where you want to buy to exactly what services that you are looking for (credit restoration for example). The easiest way to locate them is to consult either the city of county offices that I mentioned above or you local Chamber of Commerce can give you a point in the right direction more than likely.