FARMERSBURG, Ind. (WTWO/WAWV) — Buying a home can be a daunting task, and for many families looking to buy a home the down payment can be a major obstacle to closing the deal.
A new program from the United Way of the Wabash Valley hopes to help lessen that burden.
The Home Down Payment Assistance Program created through the UWWV’s Financial Management Impact Council aims to make homebuying easier for qualifying families.
The program provides up to 5% in assistance for the purchase of a home up to a price of $80,000. While homes with purchase prices greater than that will be considered, the assistance is limited to a maximum of $4,000.
The program also partners with give local banks that will offer specialized mortgage programs for those eligible for assistance.
Eligibility requirements must be met to be approved for the program. Below are a sample of requirements;
- The entire household size and loan-qualifying income must be under the county’s 80% Area Median Income. These limits are established by the federal government and are listed on the program’s website. (Applicant must provide proof of income.)
- The applicant must complete approved financial literacy classes prior to closing on the home or provide proof of completing such courses in the last year.
- Purchased home must be the applicant’s primary residence in the counties of Clay, Parke, Sullivan, Vermillion, and Vigo in Indiana or Clark in Illinois.
“Homeownership has long-lasting and life-changing impacts on a household’s financial well-being but is out of reach for some families in the Wabash Valley. It can provide stabilization for families so that they can focus on other aspects of their lives,” United Way of the Wabash Valley’s Community Impact Manager Dorothy Chambers said. “United Way’s new home down payment assistance program can help families realize their dream of owning a home by providing funds to cover down payment and closing costs, which can often be difficult to pay for. We hope families will consider applying for these funds, and we invite them to contact us or visit our website to learn more.”
To see the full eligibility requirements and more information about this program click here.