Press Contact Only:
Margaret Matrone, NCHFA, 919-877-5606,
Connie Helmlinger, NCHFA, 919-877-5607,
As interest rates continue to rise, the North Carolina Housing Finance Agency is keeping home ownership affordable for first-time home buyers with a 5.375 percent interest rate. Downpayment assistance up to $7,000 is available for eligible buyers.
“Rising interest rates and rising home prices have made it harder for North Carolina families to buy their first home,” said Lucius S. Jones, chairman of the agency’s board of directors. “More often than not, it takes two incomes and, even then, many families find it difficult to afford a home in the same community where they work.”
The Agency’s low interest rate can make the difference between renting and owning for North Carolina’s low-wealth families. The low interest rate helps low-wealth families qualify for a mortgage by increasing their purchasing power by as much as $15,000.
The 30-year, fixed-rate FHA, VA, USDA, and conventional mortgages are available for first-time buyers and individuals who have not owned a home in the past three years. People who buy homes in certain federally designated census tract areas are also eligible.
Down payments are usually 0 percent to 3 percent of the sales price. Qualified buyers may obtain 100 percent financing through VA, USDA, and conventional loans. Low-wealth buyers may be able to borrow up to $7,000 toward a down payment from N.C. Housing Finance Agency as a second mortgage at zero interest. The second mortgage is repaid after the primary mortgage has been retired, or when the house is sold.
Families earning up to $79,500 qualify for the Agency’s First-Time Home Buyer Mortgage if they buy in the Raleigh-Durham area, where the average income is the highest in the state. In non-metropolitan counties, where median incomes are lowest, the maximum qualifying income is $60,500.
A HomeSaver feature helps homeowners with N.C. Housing Finance Agency mortgages keep their homes even if they lose their jobs. If eligible homeowners become unemployed, the agency will make principal and interest payments on their behalf for up to four months. The homeowner repays the funds at the end of the mortgage term at no interest.
The mortgages are available statewide through nearly 700 North Carolina banks and their branches. A complete description of the program is available at www.nchfa.com; or citizens may call the N.C. Housing Finance Agency, 919-877-5700, to speak with a home ownership underwriter.
The N. C. Housing Finance Agency is a self-supporting public agency. Nearly 65,000 families and individuals have used its mortgages, which are financed by the sale of tax-exempt bonds.
Household Income & Sales Price Limits for Low-Interest Mortgages
from the N.C. Housing Finance Agency
*MSA is an abbreviation for Metropolitan Statistical Area Lower limits apply for Down Payment Assistance. visit www.nchfa.com. # # # |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
