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It’s that time of year again – one of my favorite programs is back (and as usual, it is for a limited time).  We once again get to take advantage of F&M’s relationship with the Federal Home Loan Bank of Cincinnati to provide this special grant that is truly one of a kind.  The Welcome Home fund is taking reservations now (started March 1st) and will be available until funds run out.  The funds have run out by mid-early April in both of the last two years.  Why?  Because it’s free money!  Details are listed below and you are welcome to call me if you have any questions.  Let’s help as many people as we can with this program!

·         Amount available - $5,000 per transaction

·         The funds are provided as a grant and no repayment is required

·         Borrower must have a home under contract (primary residence only) to place a reservation for funds

·         Funds may be used for down payment and associated closing costs

·         Borrower must put at least $500 of his/her own money into the deal (60% of the $500 can be gifted)

·         Most loan programs are available (FHA, THDA, USDA and conventional – but no repair programs like 203K)

·         Doesn’t have to be a first time homebuyer, but all first time homebuyers must complete homebuyer education course

·         Income limits apply (it’s basically 80% median)

o   for Davidson county, the limit is $65,760 for 1-2 person household and $76,720 for 3+ persons

·         These programs take a little longer to process due to the file needing to be underwritten by FHLB in Cincinnati, so please allow 45 days to process)

·         It may be used for new construction, but home must be completed by December 1, 2017

If you have a client that is going under contract any time in the next month to month and a half, it would make sense to at least have him/her look into this if you think there is even a possibility of qualifying for this grant.  It is awesome!