Affordable Housing Enhanced Loan Program
Financial Assistance for Homebuyers in Alaska
AHELP works in partnership with other agencies to promote affordable homeownership, so the assistance funds may come in the form of a grant, deferred payment(s), a forgivable loan, or a combination of options, and may come from a governmental agency, nonprofit agency or regional housing authority.
To qualify for assistance, borrowers are required to meet the individual provider’s requirements, but there are some of the general AHELP guidelines that must be met as well. All AHELP borrowers must enroll in, and complete an approved homebuyer education class, and they cannot be owners of a second residential property in the same area.
Eligible properties under AHELP include owner-occupied single-family homes, condominiums, units in a Common Interest Community, and Type I manufactured homes. Any property built prior to 1992 must undergo an authorized home inspection
The purpose of this program is to make funds available to eligible applicants who are interested in purchasing a home but need financial help to pay the upfront costs, which include the down payment, as well as the closing costs and prepaid items required to obtain homeownership. These expenses can add up to a substantial amount, and the inability to pay it might keep people stuck in a renters trap.
*Seller-funded down payment programs were eliminated in the Housing and Economic Recovery Act of 2008, but States and Local government agencies are still permitted to help borrowers finance their homes with second mortgages and grants. These agencies set different requirements that a borrower needs to meet in order to qualify for the grant programs, such as property location, and purchase price and income limits.
Down payment assistance programs and/or grants were researched by the team at FHA.com. Please note that all programs listed on this website may involve a second mortgage with payments that are forgiven, deferred, or subsidized in some manner until resale of the mortgaged property.
FHA.com's compilation is not a complete list, but it can serve as a starting point in your search for the down payment assistance program or grant for your situation. It is up to the consumer to contact these entities and find out the specifics of each program.
Down Payment Grants in Alaska
The Alaska Housing Finance Corporation offers down payment assistance or secondary financing options, with their Affordable Housing Enhanced Loan Program (AHELP). The program works together with governmental agencies, nonprofit agencies, and regional housing authorities.
Cook Inlet Down Payment Assistance (DPA) Program was designed to help individuals afford the hefty down payments that are associated with the mortgage transaction. The program saves homebuyers money when combined with a first mortgage.
The Home Opportunity Program provides assistance funds in the form of a zero-interest loan, with the first $10,000 conditionally forgivable over a five-year period. These funds must be repaid if the homebuyer does not continue to own and occupy the purchased property for the required period.
Alaska's Tlingit Haida Regional Housing Authority (THRHA) provides homebuyers with the Down Payment Assistance Program. Funds from this program can be put toward the down payment and/or closing costs (excluding prepaid closing expenses) associated with the mortgage transaction.
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