After reading Patti's response, do check out Minnesota's MFHA program. Just first pass, but it sure looks like a much better program for first time Buyers.......

Fri Jan 4 2008, 10:49

As long as you meet their criteria and remember that this is actually a zero-interest LOAN that has to be REPAID when you sell or refinance, then it is a great program that is funded by the US Dept of Housing and Urban Development.

You will need to carefully consider your options because this does have some risk associated with it. For example, if you are forced to sell (due to a job loss, injury, illness, divorce, death, etc.) you will still have to repay the loan - which means you it is possible to net less or even loose money when you sell.

You should expect to keep the home for at least 4-5 years. You want to make sure that the appreciation offsets the extra loan amount.

The maximum sale price for a single family home to qualify for this program is fairly low. It may take longer than usual to find a home under their maximum price limit that suits your needs. The current limit for a single family home is $200,000 and $175,000 for a townhome or condo. Since prices for townhomes are falling more than prices for single family homes, this program is a little better deal for first time buyers who are looking for a townhome or condo.

Wed Dec 26 2007, 23:14

Hi Pam....

I will research Washington Co., but MN does have a program called MFHA. I have used it for many clients. If qualified, Buyer gets $14,400 in assistance at 0% and doesn't pay it back till they sell the home or refinance. It usually has below market rates also. I am out with clients shortly, but if you want to call me tomorrow on my cell, I would happy to help you out and research Wash. Co. in the meantime. My contact info is on my website and the web address is www.toddnorsted.com

I'll get the info and would love to work with you.

Thanks, Todd

Tue Dec 4 2007, 13:33

Pam, I have a loan officer who specialized in Downpayment Assistance Programs and would be happy to answer any of your questions. Would you be interested in having him e-mail you? Feel free to send me an e-mail at TimMurphy@JohnsonMurphyHomes.com and in the subject line write "Interested in Downpayment Assisstance Program Info." I will e-mail you his contact info and you can contact him buy phone or e-mail to ask any questions. Thanks,

Visit: JohnsonMurphyHomes.com

Tue Dec 4 2007, 13:24