On day 4 of HUECU's 2023 Home Buying Forum, participants heard from hosts Dominique Verdieu, Community Engagement Specialist, and Ryan Duckless, Mortgage Loan Originator, and presenters Sharon Cummings, Senior Mortgage Loan Originator, Helen Laskaris, Senior Mortgage Loan Originator, and Antonia Finley, First-time Homebuyer Coordinator, City of Cambridge. The amazing presenters talked about the different programs homebuyers can participate in through the HUECU and programs through the City of Cambridge.
First-Time Homebuyer Program
In order to be eligible for the HUECU’s First-Time Homebuyer Program, you need to have either never owned a home or have not owned a home in the past 3 years. If there are two borrowers, only one needs to meet this requirement. You also need a minimum 620 credit score and a suggested debt-to-income ratio of 43%. Your property also needs to meet some requirements. It needs to be a single-family home, condominium, or townhouse. If you are looking to buy a multi-family home, other programs are available. Benefits of the program include $500 off closing costs, 1/8th discount off posted rate, and minimum 3% down (up to $726,000) financing for single-family homes and condominiums.
Home Ready Program
To be eligible for this program, you need to meet the requirements for the First-Time Homebuyer Program and have an income up to 80% of the area median income (around $106,000 in the Boston area), must complete FANNIE MAE HomeView®.
Non-occupant borrowers are also eligible for this program. The property requirements are 1-unit principal residence condominiums, single-family homes, and 2 to 4- unit principal residences with a higher down payment.
Benefits of the program include $1,000 off closing costs, 1/8th additional discount off the first-time home buyer rate, discounted private mortgage insurance, and use of border income.
Border income allows you to use income from relatives or non-relatives for up to 30% of the qualifying income, but the border must pay the member (homebuyer) and not the landlord directly.
City of Cambridge Homeownership Programs
The City of Cambridge offers several homeownership programs not limited to the First-Time Homebuyer Workshop, the HomeBridge program, the Homeownership Resale Pool, and lottery programs.
The HomeBridge program focuses on shopping in the open market, while the Homeownership Resale Pool is for waiting for existing units, and lotteries are for new and non-profit developments.