Welcome Home Heroes Financing Package

Launched to honor those who sacrifice to safeguard our freedom, Welcome Home Heroes is open to all qualified Illinois veterans, active military personnel, reservists and Illinois National Guard members.

The Welcome Home Heroes homebuyer financing package includes:

• a $10,000 forgiveable loan over two years for down payment and closing cost assistance
• a 30-year fixed rate mortgage that has an affordable interest rate
• an optional mortgage credit certificate to reduce federal income tax liability

Who is Eligible?

• Veterans (who do not need to be homeowners)
• Active military personnel, reservists and Illinois National Guard members (must be first-time homebuyers)
• Buyers must qualify based on income and purchase price limits

How to apply?

Interested buyers must apply through a lender in their area. The program only applies to 1-2 unit residential properties in the State of Illinois purchased as a primary residence. The new home loan builds on the existing affordable home, SmartMove, also available through Illinois Housing Development Authority's (IHDA) lenders.

How does the tax credit work?

A mortgage credit certificate (MCC) enhances the benefit of the federal homeowner mortgage interest deduction. Homeowners with the credit are allowed to use 20 percent of their annual mortgage interest as a direct federal tax credit, resulting in a dollar-for-dollar reduction of their annual federal income tax liability. The remaining 80 percent of their annual mortgage interest will continue to qualify as an itemized tax deduction. To see a chart, visit IDHA.

 

The above information was taken from the Illinois Housing Development Authority website. If you have questions regarding this program, please visit IHDA's frequently asked questions.

Shopping for Your Loan

Here is an additional video that was developed by the U.S. Department of Housing and Urban Development (HUD) on Shopping for Your Loan. Lots of products are available but how do you honestly choose the one that is right for you? Watch this quick 12-minute video. At the end you'll be able to determine if the interest rate is floating or locked, identify and compare loan terms and compare the charges associated with getting the loan from multiple lenders.

 

 

Living the American Dream

With the economy and the housing market making a slow recovery, prospective homeowners have been hesitant in their attempt to be part of the American Dream.

That doesn't mean you should give up hope because there are programs available. Take the Illinois Housing Development Authority (IHDA) as an example. IHDA is offering affordable interest rates and down payment assistance for borrowers of low to moderate incomes with its SmartMove Mortgage Products. Features of the SmartMove Mortgage Products include:

• Offers up to $6,000 in down payment and closing cost assistance as a 10-year, 0-percent forgivable loan
• Maximum LTVs from 96.5 to 100 percent
• Conventional/FHA/USDA insured products available
• Fixed rate with terms up to 30 years
• Reduced mortgage insurance requirements on conventional program

Qualifications include:

• A minimum credit score (620 on FHA and USDA loans and 660 on conventional loans)
• Maximum total debt ( back end) ratio of 45 percent
• Buyer must contribute 1 percent or $1,000 of the purchase price, whichever is greater
• First-time homebuyer or qualified exemption
• Household income and purchase price limits apply
• Homeowners counseling is required

It is imperative for anyone hoping to own a home to look into as many programs as they can to keep their dream alive. Visit www.ihda.gov or call 312-836-5200 to speak with Homeownership Originations Department.

Shopping for Your Home

  This video was just unveiled through the National Association of REALTORS and Housing and Urban Development on shopping for your home. Nicely done video that gives some good and credible information (which sometimes is difficult to find on the internet)! Some topics it addresses are: How much can you afford to spend on a home and how much of a mortgage can you afford? Check it out and let me know your thoughts!

 

   

West Chicago Outreach Event November 6, 2010

West Chicago area residents can get information on programs to help them save their homes from foreclosure and stay afloat in today's tough economy at a free Community Services Fair on Saturday, November 6, 2010, from 9 a.m. to 1 p.m. at West Chicago Community High School, 326 Joliet Street. Activities will be held in the Commons area of the school.

From 10 a.m. to noon, **DuPage Homeownership Center will present Preserving Homeownership foreclosure prevention workshop. In addition, throughout the morning, attendees can obtain information on the Making Home Affordable foreclosure prevention initiative, as well as state and local programs to help with home repairs, energy assistance, school fees, job searches and other concerns.

For additional information, contact DuPage Homeownership Center Board Member Kathe Doremus at kdoremus@inlandbank.com

 

**DuPage Homeownership Center is a nonprofit organization that provides a full range of services to promote responsible sustainable homeownership, with an emphasis on serving first time homebuyers,  low and moderate income households and homeowners in crisis. DHOC is certified by the U.S. Department of Housing and Urban Development to provide prepurchase and default counseling.

Free Home Buyer Education Class offered in Spanish

You are invited to attend a free Home Buyer Education Class offered in Spanish by the DuPage Homeownership Center. The class will be Saturday, June 5th from 9 a.m. to 1 p.m. at St. Isidore's Catholic Church in Bloomingdale.

Although the class is free, registration is required. Please call the DuPage Homeownership Center at 630-260-2500, ext. 2503 or register online at www.dhoc.org.

For details on DHOC, a non-profit organization certified by HUD, please visit www.dhoc.org.

Foreclosure Rescue Scams

It's always sad when scams have to be addressed, especially when many homeowners are financially strapped and are trying to avoid being foreclosed on. It is imperative that if you are having mortgage problems, that you address them with your mortgage company right away. Additionally, should you choose to seek assistance from an outside source, that you are using legitimate options. According to an article published by houselogic, 2.8 million properties were hit with foreclosure notices in 2009. Scam artists specifically target those consumers so it's well worth your time to invest the time and effort to research legitimate options and don't make any hasty decisions.

The article goes on to report that the U.S. Federal Trade Commission has identified 71 companies running suspicious foreclosure rescue ads, and the Better Business Bureau counts foreclosure rescue rip-offs among its top 10 scams.

For details on these scams, please follow this link.

The U.S. Department of Housing and Urban Development (HUD) website has a list of HUD-approved counseling organizations listed by state. To view the list, visit www.hud.gov/counseling.

DuPage Program Offers Great Deal on Rehabbed Foreclosures

DuPage County has received a $5.2 million federal grant to rehab foreclosed homes and bring them back to productive use.  Under the new Neighborhood Stabilization Program (NSP), the County will purchase bank-owned properties, fix them up, and sell them to home buyers.    

NSP offers an attractive financing package that includes a zero-interest deferred second mortgage provided by DuPage County.  This special financing can help boost your purchasing power.  

Visit www.dhoc.org to download an information package with all of the program details! 

Free Help "Surviving the Recession" August 15th

Struggling homeowners can get advice from reputable experts to help them stay afloat in today's tough economy at a free "Surviving the Recession" event on Saturday, August 15th, from 8:30 am to 1:30 pm at the DuPage County Administration Building, 421 N. County Farm Road in Wheaton.

We all know someone who is struggling in today's tough economy -- job losses and foreclosures are hitting every community.  "Surviving the Recession" will offer free workshops and information to help with foreclosure prevention, job searches, health care and much more.

"Surviving the Recession" is sponsored by the DuPage Homeownership Center, a HUD-certified housing counseling agency, DuPage County and the DuPage Federation on Human Services Reform.  For more information, call the DuPage Homeownership Center at (630) 260-2500 or visit www.dhoc.org.

One Thing I Wish I Knew Before I bought My First House

Buying a home is the single biggest purchase most people ever make ...and it's a scary purchase. All the foreclosures currently happening in our area can frighten first time buyers. I can remember back to when my husband and I purchased our first townhouse. We were totally clueless about the entire process and I had only been with the REALTOR Association for a short time.

• How was I going to make the mortgage payment?
• Did we over extend ourselves?
• Should we have saved more money for a down payment?
• How do we know the house is in good shape?

We just had tons of questions and not sure how to get them answered. I had these questions and the market was going sky-high. I can only imagine the questions you probably have in this troubled market.

I believe that the DuPage Homeownership Center is the best organization to offer assistance for first time homebuyers in the Chicago suburbs. Not only have I sat on the Board of Directors, I have been a part of the marketing committee for what seems like years now.

I might be biased, but I think the Homeownership Center works extremly hard educating first time buyers on the homebuying process.

We have this great resource, the DuPage Homeownership Center. They sure would of helped me in the home buying process if I had known they existed! Hindsight is always 20-20, yes? Be an educated homebuyer. If you are looking for housing in DuPage County, utilize the free services of DHOC. If you are looking elsewhere, do your research to see what tools are available. For details on DHOC, visit www.dhoc.org.

If you don't, you could be another foreclosure statistic!