TERMS OF ASSISTANCE:
The Homeownership Program will provide basic
assistance of up to 30% of the purchase price plus up to $3,750 in closing
costs. The maximum financial assistance to participants is $30,000.
Financial assistance is provided as second mortgage over a term of 15 years at
3% interest. In most cases, payment on this mortgage is deferred for the first
five years. Participants must provide a minimum of $1,500 or 2% of the purchase
price (whichever is greater) of their own funds for the home purchase. These
funds cannot be gifts, participants must demonstrate the savings. All homes
purchased must be on a permanent foundation and cost no more than $150,000.00
All participants must be able to obtain a first mortgage for the remainder of
the purchase price from a private financial institution. There are several Tompkins County
mortgage lenders which have set aside mortgage funds and created enhanced terms
for the Program participants, but households must use a participating lender in
Tompkins County. Most of the banks and credit
unions in our area know about the program and often refer customers to us.
