Neighborhood Down payment Assistance Program (DAP)
- 1 percent interest rate for 30 years.
- Income must be less than $124,775 (terms and conditions apply).
- The property must be in the process of disposition option (i.e., deed-in-lieu, short sale) or foreclosed upon.
- The newly-constructed or existing property has been for sale for at least six months.
- The home buyer has experienced a foreclosure and credit qualifies to purchase another home.
- Purchase price up to $243,000.
- Assistance in the form of a loan up to $6,000 in $100 increments.
- Repayable over a ten-year term at 6 percent. A DAP of $6,000 over ten years at 6 percent interest would equal a payment of $66.61.
- Available to all KHC first-mortgage loan recipients.
- Purchase price up to $195,700.
- Assistance up to $4,500
- No monthly repayment; forgiven over five years.
- Existing homes only.
- Borrowers must meet HOME-income guidelines.
More about down payment and closing costs
- No liquid asset review and no limit on borrower reserves for Regular DAP.
- Borrowers may retain two months’ house payments in reserve while using available funds first before looking for any form of HOME DAP assistance.
- Specific credit underwriting standards may apply to down payment programs.