NEW Homeownership Incentive from PHFA

-

Glenside, PA – April 3, 2009 – (RealEstateRama) — The Pennsylvania Housing Finance Agency has introduced a new homeownership incentive program, the The Tax Credit Advance Loan (TCA). First-time homebuyers can get an interest-free loan of up to $6,000 to use towards their down payment and/or closing costs.

Here’s how it works:

  • The maximum loan amount is $6,000 for newly constructed homes and $5,000 for existing homes, with a minimum loan amount of $500.
  • Buyer must invest a minimum of $1,000 of their own funds for conventional loans.
  • If TCA is repaid by June 30, 2010, the borrower pays no interest for the loan.
  • Any portion of the TCA not repaid by June 30, 2010, becomes a ten year loan at the same interest rate as the PHFA first mortgage; with monthly payments beginning on August 1, 2010.
  • You must be a first-time homebuyer.
  • You must fall within the Federal First Time Homebuyer Tax Credit income guidelines and PHFA s income and purchase price limits.
  • Cannot be combined with other PHFA downpayment and closing cost assistance programs.
  • The homebuyer files for the Federal First Time Homebuyer Tax Credit with their 2009 federal income tax return and uses their tax refund to repay the Tax Credit Advance Loan.
  • Loan must close prior to December 1, 2009 (and be occupied, in the case of custom construction).
  • Funding is limited; therefore, loan availability is on a first come, first served basis.TCA will be available on PHFA loan reservations beginning on Monday, April 6, 2009.

More news: Also effective beginning with reservations made on Monday, April 6th, the amount available per Keystone PLUS Assistance Loan will be increased from $2,000 to $3,000 and up to $1,500 will be available to eligible buyers under the regular Keystone Home Loan.

SHARE
Avatar

Pennsylvania RealEstateRama is an Internet based Real Estate News and Press Release distributor chanel of RealEstateRama for Pennsylvania Real Estate publishing community.

RealEstateRama staff editor manage to selection and verify the real estate news for State of Pennsylvania.

Contact:

Previous articleWatson Proposal to Promote Energy Conservation in New Homes Endorsed by House Committee
Next articleRep. Dent hosts housing foreclosure seminar in Allentown, April 15