Majestic mountains, beautiful national parks, and scenic driveways make Washington State a popular destination. Then, toss in the state’s rich history, world-class cities, excellent education system, and prime real estate for good measure.
Therefore, it’s not surprising that people want to make the Evergreen State their home. If you’re a first-time homebuyer looking to move to Washington but are on a tight budget, fret not – the state offers extensive resources to help you.
WASHINGTON FIRST-TIME HOME BUYER LOAN PROGRAMS
There are two assistance programs available to first-time home buyers from the Washington State Housing Finance Commission (WSHFC): Home Advantage and House Key Opportunity. Conventional, FHA, and VA home loans, as well as Rural Housing Services, can be used with both programs.
Home Advantage loan program
The Home Advantage program assists qualified low- to moderate-income homebuyers in purchasing a house at lower interest rates. Note that while Home Advantage is available to all, some programs may only be available to first-time buyers.
How to qualify for the Home Advantage program
- Minimum credit score of 620
- Maximum debt-to-income (DTI) ratio of 50%
- Annual income of less than $180,000
- Attend a free Home Buyer Education Seminar and receive a two-year certificate of completion
Funds for the Home Advantage program are always available and are subject to market rates and conditions. Applicants may also qualify for a deferred second mortgage at 0% interest and no monthly payment at a maximum amount of 4% of the first mortgage loan amount:
Home Advantage Down Payment Assistance
- 0% interest rate for 30 years
- Compatible with the Home Advantage first mortgage loan program
- Annual income of less than $180,000
- Borrow up to 3% or 4% of the total loan amount, or up to 5% if you use a conventional or FHA loan.
Home Advantage Down Payment Assistance – Needs Based Program
- 1% interest rate for 30 years
- Annual income below $134,600 for King and Snohomish counties and $105,300 for all other counties
- Compatible with the Home Advantage first mortgage loan program
- Check with your lender to see if you qualify for a loan of up to $10,000
House Key Opportunity program
The House Key Opportunity program focuses on homebuyers with lower incomes and who have benefited from down payment assistance programs,such as Opportunity, HomeChoice, Veterans, Seattle, ARCH, Tacoma, or a community second program previously used with the Opportunity program.
How to qualify for the House Key Opportunity
- Income limits from $75,000 to $140,000, depending on location and household size
- Home prices from $265,000 to $575,000, depending on location
- If you’re purchasing a never-occupied new construction home or if you qualify for one of the following down payment assistance programs mentioned above
- Attend a free Home Buyer Education Seminar and receive a two-year certificate of completion
As with Home Advantage, House Key Opportunity offers a competitive interest rate on FHA, VA, and USDA loans. Furthermore, rate reductions are available for conventional loans if your income is lower than 80% of the area median income.
GET EXPERT ADVICE ON BUYING YOUR DREAM HOME IN WASHINGTON
Buying a home can be a stressful and exciting experience, especially if you’re a first-time buyer, but not if you hire a professional. Coldwell Banker Lake Chelan Properties has over 20 years of experience in the real estate industry and is ready to help you find the perfect home in Chelan, WA and the surrounding areas. Browse our website to see an extensive selection of homes for sale in Chelan County. Call 509.682.7777 or send an email for more information.