DC Opens Doors & HPAP
If you are thinking about purchasing a primary residence in Washington D.C., one of these programs could be a good fit. The DC Housing Finance Agency and The DC Department of Housing and Community Development have developed these programs to assist potential homebuyers in purchasing a home in Washington DC.
DC Opens Doors
The DC Housing Finance Agency’s DC Opens Doors1 makes homeownership in Washington, DC affordable by offering qualified buyers home purchase loans and down payment assistance. This program has income and credit guidelines established by the DC Housing Finance Agency. It is not restricted to first-time home buyers. DC Opens Doors provides financing for both single-family homes and condos.
DC Opens Door Down Payment Assistance Loan
One of the biggest obstacles to a home purchase can be the required minimum down payment so DC Opens Doors offers a Down Payment Assistance Loan (DPAL) bridge the financial gap between the purchase price of your home and your first trust mortgage loan. If you qualify, you can obtain a DPAL for the full amount of your required minimum down payment, substantially reducing your upfront out-of-pocket expense. Currently, DC Opens Doors offers its DPAL in the form of a deferred 0% non-amortizing (no monthly payments) loan that is due and payable upon any one of the following: thirty (30) years from the date of loan closing; sale or any transfer (by gift or otherwise) of the property to another person, business, or entity; property ceases to be your principal residence, or refinancing your first trust mortgage.
Home Purchase Assistance Program (HPAP)
The DC Department of Housing and Community Development’s Home Purchase Assistance Program2 program provides interest-free loans and closing cost assistance to qualified applicants to purchase single family houses, condominiums, or cooperative units. The loan amount is based on a combination of factors, including income, household size, and the amount of assets that each applicant must commit toward a property’s purchase. The loan is subordinate to a private first trust mortgage.
The HPAP 0% interest loan for borrowers with incomes below 80 percent of the area median income (AMI) is deferred until the property is sold, refinanced to take out equity, or is no longer their primary residence. Moderate-income borrowers who earn between 80 percent and 110 percent AMI will have payments deferred for five years with a 40 year principal-only repayment period.
The maximum first trust loan amount cannot exceed $484,350, the conventional conforming loan limit.
Contact a George Mason Mortgage Loan Officer with questions and to find out if one of these programs might be your key to homeownership in Washington DC.
1. & 2. These products are subject to availability. Contact your George Mason Mortgage loan officer for more information.
George Mason Mortgage is not endorsed by, sponsored by, or affiliated with any government agency or program.