DC Open Doors Down Payment Assistance
Financial Assistance for Homebuyers in District of Columbia
To help individuals in Washington DC achieve their dreams of homeownership, the District of Columbia Housing Finance Agency (DCHFA) started DC Open Doors. The program offers home loans as well as down payment assistance to qualifying applicants, in order to help them out of the renter’s trap.
DC Open Doors offers different amounts of down payment assistance depending on the home loan type; 3.5 percent on an FHA Plus loan, and 3 percent on HFA Preferred/Advantage. This assistance is in the form of a zero-interest, non-amortizing loan, and needs to be repaid only if the borrower sells, refinances, or moves out of the home before the first 5 years.
In order to be eligible for the DC Open Doors program, all applicants must meet certain requirements. Their annual household income must fall under the program’s maximum limit, $132,360 (This amount was accurate at the time of publication and may no longer be current - visit the program website for updated information), and they must have a credit score of at least 640. Borrowers with an FHA Plus loan must have a maximum debt-to-income ratio of 45 percent, while the limit for those with an HFA Preferred/Advantage loan is 50 percent. First-time homebuyers applying for the Open Doors program must also complete a pre-purchase homebuyer education course.
*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.
Note: All figures mentioned above were accurate at the time of publication and may no longer be current. Visit the program website for updated information.
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 District of Columbia
In order to help individuals in our capital achieve their dreams of homeownership, the District of Columbia Housing Finance Agency started DC Open Doors. The program offers home loans as well as down payment assistance to qualifying applicants.
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