The mortgage crisis has changed and made mortgage guidelines more strict for all home buyers in America, but First Time Homebuyers in American cities like Frisco, McKinney, Prosper, The Colony, and Plano all have down payment assistance options with bond money that was made available to them by the government. The details are fairly simple, and if you have any questions, you can contact your Bond 77 experienced lender and ask what ever questions. I’ll try to answer your down payment assistance questions in regards to this bond here below, first.
First Time Buyer – Frisco TX Mortgage Banker or Broker – Down Payment Assistance – FHA Home Loan
- Bond reservations cannot be made without a complete application and signed contract
- Buyer must provide 3 years signed tax returns
- FHA loans only…owner occupied only (no investment homes)
- ALL borrowers must complete an approved Homebuyer Education class – online is acceptable
- Income limit 100% AMFI and 115% AMFI – see chart based on family size
- Income tax recapture provisions apply (see recapture details below)
Income Chart – Bond 77 Income-Purchase Price Limits
Income Tax Recapture – ALL 3 of the below situations have to occur for enforcement of recapture to occur
- Buyer experiences a substantial increase in income above modified adjusted gross income limit
- There is a gain on the sell of the property
- The property is sold or converted to an investment home w/in 9 years of purchase
To read more information on the Bond Program from a Realtors view, this Tx Realtor’s Bond post is a good educational read too.