NJ Conventional Down Payment Assistance Program Increases To $15,000
Now home buyers can dream even bigger! The New Jersey Conventional Down Payment Assistance (DPA) Program has increased to $15,000 for properties in certain New Jersey counties*. This program was created to provide first-time home buyers a flexible and affordable option for purchasing a home.
What Does This Change Mean for Home Buyers?
Now, qualified clients can receive $15,000 to be used towards the down payment and closing with affordable mortgage insurance premiums that follows conventional mortgage guidelines.
About The NJ Conventional DPA Program:
- 30-year, Fixed-Rate Conventional Loan
- Affordable Mortgage Insurance Premiums
- $15,000 for Down Payment and Closing Costs*
Do You Qualify for the New Jersey Conventional Down Payment Assistance Program?
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First-time buyers are borrowers that have not had an ownership interest in their primary residence during the previous three years.
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DPA is a $15,000 forgivable loan with no interest and no monthly payments. Forgiven after 5 years as primary residence (While grant funds are available).
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Single-Family Properties and Condos, Owner Occupied, Primary Residence in NJ, Minimum FICO 620
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Income limits are determined by the county of the purchase property but must not exceed 80% of Area Median Income. Please reference the Freddie Mac HFA Income Limits for additional details.
County List:
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*$15,000 applies to: Bergen, Essex, Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, and Union. Effective November 1, 2022.
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$10,000 applies to: Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Salem, Sussex, Warren.
Bottom Line
We are here to help make homeownership a reality for you. Reach out today to learn more or to see if you qualify for the NJ Conventional Down Payment Assistance Program.
Resources:
- NJ Conventional DPA Program
- Get a Free Pre-Approval
- Contact Us
- First-Time Home Buyer Resources
- Buying Your First Home
- First-Time Home Buyer EBOOK
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Reverse mortgages, available to qualifying homeowners ages 62+, generally come with no limits on the use of the funds.
Reverse mortgage funds are first used to pay any liens on the home, including a regular mortgage or home equity loan. In some cases, a portion of proceeds is withheld or set aside to pay taxes and insurance.
Remaining funds often:
- Offset day-to-day living expenses.
- Cover emergency expenditures, such as car or home repairs.
- Pay for medical costs.
- Provide for in-home care, allowing the owner to remain in their own home longer.
Sometimes, homeowners use a reverse mortgage just to pay off their existing loan. They do not access the remaining funds at all, but they remove the strain of a monthly mortgage payment* from their budget and increase their cash flow.
Some seniors use reverse mortgages to purchase a new home without ever incurring a monthly payment.*
Remember that a reverse mortgage is a loan that will be repaid after your death, after you permanently leave your home, or after the sale of your home. Neither you nor your heirs will be responsible for repaying more than the value of your home at sale.
How Do You Qualify for a Reverse Mortgage?
To be eligible for a reverse mortgage, you must be age 62 or older. You must either own your home outright, or the balance must be low enough that it can be paid off at closing. Borrowers are required to receive free or low-cost information from an HECM counselor prior to obtaining the loan. The goal of the counseling session is to make sure that potential borrowers fully understand and are comfortable with the process and the loan terms.
The ability to pay property taxes, insurance, etc. is determined prior to approval. Single-family homes, condos, townhouses, manufactured homes built after June 1976, and 2-4 unit properties are eligible for a reverse mortgage. A co-op does not qualify. The homeowner is still responsible for property taxes, homeowners insurance, upkeep and any relevant HOA fees.
Contact Us To See If You Qualify!
If you would like to explore the opportunities a reverse mortgage may present for you or your family, contact us!
*The homeowner is responsible for paying taxes and insurance and for properly maintaining the home. The home must be used as the homeowner’s primary residence. Age-based assessment and other guidelines determine allowable equity ratios. Various payment and draw options available.
If you’re a first-time home buyer looking to purchase a home, then you’re familiar with the high ticked price tags these homes come with. They have certainly skyrocketed. It’s common to feel discouraged and to feel as if homeownership is out of reach these days, but we’ve got good news. Luckily, there’s a wealth of homeownership programs in New Jersey that help home buyers secure a mortgage, make a down payment, cover closing costs, and more.
The state of New Jersey now offers a conventional version of their down payment assistance program for first-time buyers. Now, qualified clients can receive $10,000 to be used towards the down payment and closing with affordable mortgage insurance premiums that follows conventional mortgage guidelines.
Here’s Some Information About the New Jersey Conventional DPA Program:
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30-year, Fixed-Rate Conventional Loan
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Affordable Mortgage Insurance Premiums
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$10,000 for Down Payment and Closing Costs
Do You Qualify for the New Jersey Conventional Down Payment Assistance Program?
It may seem that this program is solely for first-time homebuyers, but the restrictions are somewhat flexible. First-time home buyers are borrowers that have not had an ownership interest in their primary residence during the previous three years. In addition, borrowers need to fall under certain income limits and meet a minimum credit score requirement of 620.
- DPA is a $10,000 forgivable loan with no interest and no monthly payments. Forgiven after 5 years as a primary residence (While grant funds are available).
- Single-Family Properties and Condos, Owner Occupied, Primary Residence in NJ.
- Income limits are determined by the county of the purchase property but must not exceed 80% of the Area Median Income. Please reference the Freddie Mac HFA Income Limits for additional details.
- Eligibility requirements, exclusions, and other terms and conditions apply.
Bottom Line
Greenway Mortgage is proud to offer this program to first-time homebuyers in New Jersey. We are here to help make homeownership a reality for you. Reach out today to learn more or to see if you qualify for the NJ Conventional Down Payment Assistance Program.
Resources:
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Green mortgages do exist, but what exactly are they? Green mortgages are an environmentally friendly type of home loan. How do you make a mortgage environmentally friendly; you might ask? Green mortgages, also known as Energy Efficient Mortgages (EEM), are a special type of loan designed to make your home more energy efficient while saving you money at the same time. Interesting, right?
How Do Green Mortgages Work?
These loans help you borrow money to pay for energy efficient upgrades to your home. The cost can be added into the mortgage or rolled into your current mortgage through an energy efficient refinance to allow you to make improvements to your current home. It’s an affordable way to make upgrades that may be costly up front, but in the long run will save you money.
What Can You Use Energy Efficient Mortgages Towards?
Whether you're a homeowner looking to improve your current home or are shopping for a home to purchase, you can use an EEM to make energy-efficient improvements. Changes you make to your home can improve energy efficiency and lower heating/cooling costs. An important bonus: These improvements can add to the value of your home.
- Installing Double-pane windows
- Replacing outdated air ducks
- Replacing old insulation
- Tankless water heaters
- High Efficiency Furnace or Air Condition System
Can a Green Mortgage Reduce Your Home’s Carbon Footprint?
According to the Center for Climate and Energy Solutions, the average U.S. family can spend $2,000 a year on energy bills, which means reducing your home energy use is the single most effective way to save money and reduce your home’s contribution to climate change. In fact, here are some interesting statistics to think about:
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You can save 10% on energy costs by insulating, sealing, and weather-stripping the cracks around your windows and doors.
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By sealing and insulating the ducts in your heating system, you can improve efficiency by as much as 20%.
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According to the Department of Energy, energy loss from outdated windows accounts for nearly 25% of the annual heating and cooling costs for the average American home.
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New energy-efficient heating or cooling equipment can cut your energy use by 20% or more.
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The Environmental Protection Agency reports that you could save roughly $180 a year by using a programmable thermostat.
Overall, EEM’s allow families to save money, help the environment and help you to live more comfortably. Energy efficient homes tend to be cooler in the summer and warmer in the winter, cost less to maintain and have lower utility costs.
What Types of Green Mortgages does Greenway Offer?
Greenway Mortgage is proud to introduce our Green Mortgage Program that helps homeowners add energy efficient features to their home. Take a look below at the two types of EEM’s we offer:
FHA Energy Efficient Mortgage
This type of EEM provides additional financing that equals the lesser of 5% of the home’s appraised value, 115% of the median area price of a single-family dwelling, or 150% of the national conforming mortgage limit in the area. Click here to view the current FHA Loan Limits.
Contact Greenway Mortgage for more information and to see if you qualify.
VA Energy Efficient Mortgage
Military members, veterans, and their families who want to go green in their homes can do so with a VA Energy Efficient Mortgage. If the borrower is planning on making energy-efficient upgrades in the home, they have six months following the closing of their loan to complete those projects. If the borrower hopes to purchase a home that is already energy-efficient, the lender may increase the loan by as much as $6,000, so long as it meets specific energy-efficient standards.
Who Is an EMM Designed For & What Are Some Benefits?
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Anyone can qualify for an energy efficient mortgage. However, the lender must validate that your home is an energy efficient property or that the improvement projects you want to pursue to make it an energy-efficient property are cost-effective.
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An EEM can benefit those who hope to make a competitive offer on a house. Not only will the financing fund the energy efficient upgrades, but it can increase their offer price to beat out other buyers.
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If you’re someone who intends to own your home for many years, EMMs make sense as you’ll be able to reap the savings benefits.
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If you want to increase the value of your home energy-efficient upgrades are key. Some home buyers will pay more for a house with green updated features.
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If you’re a homeowner with an energy-efficient home, you may be eligible for tax credits and rebates. Consult with your tax advisor for more information.
Bottom Line
If energy efficiency is important to you, a Green Mortgage may be something to think about as it reaps many homeowner benefits. For more information and to see if you quality for our Green Mortgage Program reach out to the experts at Greenway Mortgage.
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Introducing the Doctor Loan
One benefit of becoming a doctor is being able to take advantage of unique home financing opportunities. Greenway Mortgage's Doctor Loan is a great tool to help medical professionals who are looking to achieve the dream of homeownership.
What is the Doctor Loan?
Becoming a caregiver is not only commendable but it’s often coupled with a significant student loan burden. If you’re a resident, a recent medical school graduate, or at any stage of your career, looking to lose the lease and become a homeowner, the Doctor Loan was specially designed for professionals like you.
The Doctor Loan helps those eligible secure a mortgage with fewer restrictions than a conventional mortgage. This type of loan is much more accommodating to medical professionals and their unique circumstances. So, those years of extra schooling and training have paid off and your dream of homeownership is within reach.
What are the features and benefits of the Doctor Loan?
The Doctor Loan can help those eligible locks in lower interest rates, avoid a huge down payment and private mortgage insurance (PMI) which is standard for traditional loans. Depending on the final loan amount, eliminating the PMI can save doctors hundreds of dollars from monthly mortgage payments while pursuing medical careers.
Features & Benefits of the Doctor Loan Include:
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Loan amounts up to $2,000,000
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Low and no down payment options (Max LTV up to 100%)
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Adjustable-Rate Mortgage (ARM) options available (3/5/7/10)
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Interested party contributions allowed
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Future employment contract eligibility
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Available for Purchases and Rate & Term Refinances
Who’s Eligible for the Doctor Loan?
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Medical residents
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Physician's Assistants
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New and established doctors
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Doctor of Medicine (MD)
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Doctor of dental surgery (DDS)
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Doctor of dental medicine or surgeon (DMD)
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Doctor of optometry (OD)
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Doctor of Ophthalmology (MD)
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Doctor of osteopathic medicine (DO)
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Doctor of podiatric medicine (DPM)
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What are the specific Doctor Loan eligibility requirements?
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Single-Family Properties and Condos
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Primary Residences Only
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680 Minimum Credit Score
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Available in NJ (some counties excluded), FL, NY (some counties excluded), NC
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Eligibility requirements, exclusions, and other terms and conditions apply.
Bottom Line:
If you’re considering buying a home, especially as a new medical professional, speak with the experts at Greenway Mortgage to weigh all your options. Click here to get a free mortgage pre-approval or to speak with one of our Loan Officers today.
