Home Buying in 60655>Question Details

Lisa F, Renter in 60655

Is there a way for public safety workers to purchase a home without money down? We are firefighter/paramedics and dont have $20,000 laying around!

Asked by Lisa F, 60655 Tue Dec 13, 2011

Very curious about the HUD loans. They sound like a great deal, but too good to be true?

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Answers

19
So much incorrect information, instead of correcting everyone, I'll just re-answer your question.

A HUD home MAY be eligible for their $100 down incentive IF the Home Ownership Center for the area is currently offering it and IF the borrower makes a full price offer, otherwise standard down payments apply. Since I just did one of these deals (as a 203k/rehab loan even), I know they are still doing it currently.

As John stated, your area disqualifies you for that incentive (I didn't verify but since he's a public servant also, I'm assuming he's correct) but you may still strike gold with a HUD home. John or another agent local to where you're looking would help you make an offer on a HUD home of your choice and would be the ONLY agent involved in the transaction as they're interfacing directly with the asset management company on HUD's behalf.

IHDA (http://ihda.org) has numerous programs that may benefit you (though there's no guarantee that any one program has money at any given time, we can determine that at the appropriate time). Programs range from second mortgage (down payment assistance) grants of up to $6000, rehabilitation silent second mortgages (forgiveable) and monthly tax benefits, it just depends what makes the most sense for you and your budget and of course what you qualify for.

http://ihda.org/homeowner/gettingLoan.htm
http://ihda.org/homeowner/grantHomeowner.htm

If you'd like to sit down and go over the finer details of the program and even the 203k rehab loan (which can be used in conjunction with the $100 down option to remodel/update or more drastic work if you choose) or IHDA program, contact me via my website or my profile. I'm available as early as Friday for appointments this week (or phone works as well).

I'm also a published writer on renovation financing.

My contact information is in my profile and on my website.
Web Reference: http://RobWeber.com
1 vote Thank Flag Link Wed Dec 14, 2011
Hello Lisa
There are no options for zero down payment unless you qualify for VA financing. However there are several low down payment programs to consider. I recommend that you look into the Smart Move Loan - you may qualify for a home loan with as little as $500 down.
There are also conventional loans with as little as 3% down and FHA loans with as little as 3.5% down.
I would be happy to discuss your options should you need further assistance.
Sam Sharp
Senior Vice President Of Mortgage Lending
Guaranteed Rate
773-290-0455
1 vote Thank Flag Link Tue Dec 13, 2011
Thank you to all for your insightful and very helpful answers. I was not aware we did indeed have so many options to explore. I will be contacting a few of you.
0 votes Thank Flag Link Wed Sep 12, 2012
With the IHDA program you can receive as much as $6000 in down payment assistance. There is also a Welcom Home Hereos for veterans offering $10,000 in down payment assistance. I would be happy to help you sort through the programs that are avaiable to you. Joanna 312-307-2787 NMLS#230092
0 votes Thank Flag Link Tue Sep 11, 2012
There are definitely many different options for people in your situation. I won't pretend that I know all the products by heart, but I can put you in touch with people that are experienced with these types of loans. Thanks for all your hard work!
0 votes Thank Flag Link Fri Sep 7, 2012
Speak with a lender Lisa, they can guide you on what options are available. I suggest you speak with two or three since there are many programs available. If you need suggestions please feel free to contact me. We have a team of experts that can help you find, finance and protect your home purchase. Good luck!
Web Reference: http://www.myownhome.info
0 votes Thank Flag Link Fri Sep 7, 2012
The Good Neighbor Program provides discounts of 50% on all "eligible" homes and the buyers is in a speciality occupactions which HUD considers essential to helping rebuild neighborhoods. These properties are in what is called revitilization zones. They are restricted to HUD REO properties and are awarded based upon lottery. No agent is required for these as they are considered direct sales. You can search the list and program details at http://www.hudhomestore.com/HUDHome/GNND.aspx

Regarding incentive programs, HUD is currently offering $ 100 down (versus 3.5%) with its REO Inventory in several states includinbg Illinois. This applies to FHA loans only.
0 votes Thank Flag Link Fri Dec 16, 2011
Lisa,
I assume you are buying in Chicago. If you are not a Vet then the HUD owned homes would need to be in satisfactory condition for a HOMEPATH mortgage since they will not give you money for renovation. Not all mortgage officers know how to do. With these mortgages you need to put $100 down and HUD pays some of the closing costs.
If you can't find a HUD owned home you like, FHA only requires 3.5% down. For a $200,000 purchase that is $7,000. Your family can give you a gift for the entire downpayment. The seller can pay the closing costs.
0 votes Thank Flag Link Wed Dec 14, 2011
Lisa,

If one of you is a veteran, 100% financing still exists. If not, we have a program with up to $6000 in Down Payment Assistance, and all you would need is $1000 or 1% down.

Give me a call.

Matt Bukovy
Senior Mortgage Consultant
mbukovy@wintrustmortgage.com
773-938-8214
Web Reference: http://www.mattbukovy.com
0 votes Thank Flag Link Wed Dec 14, 2011
60655 is not an area that qualifys for the officer/fireman next door program.
0 votes Thank Flag Link Wed Dec 14, 2011
I am a Chicago Police Officer and Co-Owner of Online Realty Professionals.com. My office is located at 3822 W. 111th St. I also reside in Mt. Greenwood. Your best bet would be for an FHA Loan. The problem with FHA is that you usually can not get into a fixer upper because accroding to FHA standards the residence must be liveable. The other option you can get into is a different version of an FHA loan. Its called a 203K FHA loan. That is where the lender ( I have only used Wells Fargo for 203K Loans) will loan you the purchase price plus the cost of any improvements you would need to make to the home. You would have to prove that the residence would be worth what you have put into it. I am a real estate agent and NOT A MORTGAGE BROKER OR LENDER. If you would like I can put you in touch with someone at Wells Fargo would could explain the process in greater detail. I can also assist you in finding a home in the Mt. Greenwood area. 90% of my business comes from the area and for the past seven years I have been either number 1 or number 2 in homes bought and sold in the area. Contact me for any quesitons (773)457-4207. John M. Lorenz
0 votes Thank Flag Link Wed Dec 14, 2011
50% off list price, $100 down: selected homes:

HUD provides a substantial incentive in the form of a fifty percent discount off the list price of eligible properties. The catch: HUD requires that you sign a second mortgage and note for the discount amount. No interest or payments are required on this "silent second" provided that you fulfill the three-year occupancy requirement.

If you qualify for any FHA-insured mortgage program, your downpayment is only $100 and you may finance closing costs.


Firefighter/Emergency Medical Technicians

You may participate in the Good Neighbor Next Door program as a Firefighter/Emergency Medical Technician if you are employed full-time as a firefighter or emergency medical technician by a fire department or emergency medical services responder unit of the federal government, a state, unit of general local government, or an Indian tribal government serving the area where the home is located.

http://portal.hud.gov/hudportal/HUD?src=/program_offices/hou…
0 votes Thank Flag Link Tue Dec 13, 2011
Jim Walker, Real Estate Pro in Carmichael, CA
MVP'08
Contact
The firefighters belong to a union and do you have access to their credit union, that maybe an option for you. There are loans out there with $500 down,however your credit must be in the excellent category.
Debbie Bergthold-Smith Classic Real Estate
0 votes Thank Flag Link Tue Dec 13, 2011
You will need some down payment, but FHA allows as little as 3.5% and some conventional loans are 5% down. You can build in a credit for closing costs so dependong on how much money you do have laying around it might be possible. There are a few houses in that zip under 150K, but not sure what you want.
0 votes Thank Flag Link Tue Dec 13, 2011
You can't get a farm property as you must live in the city. Call Ryan Mecum at Wintrust mortgage. If anyone can help you, he can. Rmecum@Wintrustmortgage.com

Thanks,

Mark
0 votes Thank Flag Link Tue Dec 13, 2011
Depending on the purchase price, I could assist you in finding a home that you may be able to obtain with an FHA loan with 3.5% down payment, but I could offset that by asking the seller to give you a closing cost credit (possibly up to 3%). So you would be out of pocket very little for the down payment. Give me a call to discuss.
312-316-0172
.
0 votes Thank Flag Link Tue Dec 13, 2011
Lending is defintely tough these days. Let me know if you need help finding a place. I'm on the job and in the neighborhood.
0 votes Thank Flag Link Tue Dec 13, 2011
Nope. You missed it. That train has left and is never coming back.
0 votes Thank Flag Link Tue Dec 13, 2011
With HUD loans you can put down as little as 3.5%.
With a Conventional Loan you can put down as little as 5%.

Bill J Deligiannis
First Centennial Mortgage
Web Reference: http://www.BJDLOANS.com
0 votes Thank Flag Link Tue Dec 13, 2011
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