Serious cash is now available for qualified Texas buyers of Austin condos, Austin homes, and Austin investment property through this new financing initiative.

The Texas Department of Housing and Community Affairs (TDHCA) has recently announced the largest ever financing initiative for Texas homeowners in the history of the agency – TDCHA Bond 77.

It secures $500,000,000 dollars to be released in monthly $50,000,000 phases that is being made available for mortgage loans to help low and moderate income Texans who are attempting to purchase a home. The program’s huge dollar amount and relatively high purchase price limits means it’s going to be a huge boon for assistance for first time (and in some cases, move-up) homebuyers and is forecasted to help in excess of 4000 Texas families purchase homes.

Given that it can be difficult to find affordable housing in Austin, especially affordable Austin homes and Austin condos in neighborhoods with good schools such as Hyde Park, Central Austin, West Austin, or Round Rock, this program should have an enormous impact on low and moderate income homebuyers who are relatively stable financially but may be having a difficult time coming up with the money for a downpayment.

The TDHCA Bond 77 program will release money every 30 days in $50,000,000 increments which will be made available on a first come, first serve basis to qualified home buyers (primarily, but not exclusively limited to first time home buyers). The initial amount (“Lot 1”) of $50,000,000 was released in early June.

The primary objective of the program is to make available 30-year fixed mortgages that are below market rate as well as provide assistance with down payments. The interest rates for the loans will be around 4.99% if they are being provided without down payment and closing cost assistance, or 5.74% on loans with down payment and closing costs assistance. While the rates will changes monthly with each new release of funds, the rates are guaranteed to be below-market.

The major goal is to help first time home buyers so they will constitute the majority of those benefiting from he program, but some some existing homeowners (if they are purchasing in Targeted Census Tracts) will be eligible as well. Only those classified as low to middle income borrowers (more about this in the slide below) are eligible to be a part of the program.

The bond program provides funds for multiple types of loans, including FHA (with low down payment programs for first time home buyers), Conventional, USDA, and VA (veterans) loans.

Single Family, Approved Condos, and Planned unit developments (PUDS) are all eligible for the program. The limit on the home prices is $316,177 in the “Targeted Census Areas” (There are 6 qualified Census Tracts in Travis County – more info on the TDHCA website), and $258,690 in “non-Targeted areas”. These limits are a good deal higher than those previously set in similar programs, which is a big benefit to moderate-income buyers.

The generous limits for income amount and home cost are the biggest factors setting the Bond 77 program apartment from others like it, and it’s also not exclusive to “Targeted” areas. The program offers below market rates, and down payment assistance specifically for borrowers with little or no money down. They also have a first-come first-serve system that requires a one-time payment of only $350 to reserve a spot, and it’s hands down the largest single financing initiative ever offered by TDCHA.

For more details on how the program works, check the Red Home Realty blog and website or the TDCHA website’s page on the program.

Author Bio: Red Home Realty is a forward-thinking group of real estate professionals that look at real estate differently because the old way is broken. We’re tech nerds (offering powerful Austin Home Search tool for buyers and online and social media marketing for sellers) and we offer 20% cash back commission rebates to eligible buyers. Connect with us at http://www.redhomerealty.com or learn about the Austin market on our company blog at http://www.redhomerealty.com/category/blog
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Category: Finance/Real Estate/Buying
Keywords: Bond 77 Program, Austin Homes, Austin Condos, Austin Housing, Austin Real Estate, Red Home Kamagra Realty