Beaver County's First Time Home Buyer Loan
If you're searching for homes for sale in Beaver County, Pennsylvania, take a minute to learn about the Beaver County's first-time home buyer assistance loan.
Each year, Beaver County allocates funds towards down payment and closing cost assistance to help low to moderate-income home buyers purchase their first home.
Beaver County's first-time home buyer program provides grant assistance for closing costs, if your household income is at or below 100% of median income for Beaver County.
Applicants must have acceptable credit and work history to qualify for a mortgage. Eligible applicants can apply to housing agency-endorsed lenders to secure the assistance loan.
First-Time Home Buyer Eligibility
Qualified first-time home buyers are eligible to receive a second mortgage up to a maximum of $1,500.
The second mortgage is limited to the amount necessary to fill the gap between the total amount of the closing costs and the amount the borrower is able to pay.
A second mortgage agreement and other documents will be executed by the settlement company and recorded on behalf of Beaver County in the amount awarded.
No interest is charged on the grant money, and 20% of the closing cost assistance is forgiven each year (and completely forgiven after 5 years).
Occupancy
The purchased home can range from 1 to 4 units, but you must occupy the residence.
Mortgage loan qualifications
You must be creditworthy and able to qualify for a mortgage at or below the current market rate.
Home buyer counseling
The Beaver County first-time home buyer loan program requires completion of a counseling program prior to signing a contract of sale for the purchase of a home.
Applicants are also required to meet with a housing counselor for a 1-on-1 session to go over budget, credit, mortgage financing, and home ownership responsibilities. The counseling session lasts a few hours.
Pennsylvania Housing Finance Agency (PHFA)
The State of Pennsylvania (PHFA) offers home loan funding for first-time home buyers and non-first-time home buyers, including down payment and/or closing cost assistance up to $6,000.