The Florida Association of Mortgage Brokers has announced a program to provide grants for down payments to home buyers. The grants need not be repaid.
Typical candidates for the grants are first-time buyers who are getting mortgages insured by the Federal Housing Administration, said program director John Beck. The FHA a few years ago allowed non-profit charities to provide 3 percent down payment assistance to buyers, along with relatives and employers. The FAMB is the charity in this situation.
Applicants will pay a slightly higher interest rate on their mortgage loans and must pay mortgage insurance, Beck said. But they will build equity in their homes and enjoy the tax breaks, family stability and emotional satisfaction of home ownership, he said.
The source of the grants is a self-replenishing fund to which home builders and sellers contribute.
For details about the Down Payment Assistance program, visit www.famb.org/dpa or call toll-free 1-877-757-5755. To find a participating lender, visit www.famb.org and click on "consumers," then choose "find a mortgage professional" from the consumer menu.
