There is nothing wrong with renting especially if you cannot commit to a certain place your entire life but if you have been in the same house for many years now, it is time to re-evaluate your options. When renting, you are basically making the mortgage payment – to your landlord.
If this is the case, you should not be afraid of committing to a mortgage payment because after all, you are already doing that for the longest time. If you are in the Utah area, you should know that it is one of the fastest growing states. When the demand is up, the property prices will mostly go up. With this, there is no better time than now to get a house.
The good news is that you can consider DPA (Down Payment Assistance). The assistance will come in the form of a grant, which can be forgiven after a certain period of time. It can also be in the form of 0% interest deferred loan, which needs to be repaid when the primary residence is terminated or the property sold.
DPA programs are for low to moderate-income families and individuals. Keep in mind though that different counties and cities have their own programs and guidelines. It is important that you know everything you can about OnQFinancial: down payment assistance guide. Here’s what you need to know about Utah DPA programs:
Know the qualifications
It is crucial that you know if you are qualified for a DPA program. The requirements include:
• First-timer homebuyer: the first requirement is you should be a first-time buyer. The
first-time buyer means you have not owned a home in the past three years.
• Annual gross income: the next requirement is the annual gross income, which must be equal to or less than 80% of the current AMI (Area Median Income) limits as stipulated by HUD (Housing and Urban Development).
- Education Course: finally, the last requirement is you should complete a Homebuyer Education Course as established by the DPA program guidelines.
Study the available DPA program for you
The next big task here is to secure your funds immediately. The grants may be used to cover your down payment or closing costs. Grants vary depending on the county or city.
• In Salt Lake County: in Midvale, Salt Lake City, West Valley, and West Jordan $5,000
worth of DPA is provided. In Murray, $7,500 worth of grant is given. Lastly, in Sandy, Kearns, and Magna, $10,000 worth of DPA is granted.
• In Utah County: in Provo City, they provide $5,000 in DPA. Other cities, on the other hand, provide $15,000 in DPA.
• In Weber County: all cities in Weber County provide up to $5,000 in DPA.
• In Cache County: in Logan, they provide up to $7,500 in DPA.
• In Davis County: all cities in Davis County except Clearfield provide up to $2,000 in DPA. Clearfield City provides up to $5,000.
• In Tooele County: all cities in Tooele County provide up to $2,000 in DPA.