Welcome to HomeOwner Basics Orientation!

Transcription

1 PORTLAND HOUSING CENTER Welcome to HomeOwner Basics Orientation! ML-4654 NMLS ID#

2 WHY PARTNER WITH A TRUSTED RESOURCE Buying your first home is usually the biggest financial investment in your life. The home buying process is complicated, and there are many important choices to be made. Getting into your first home is a big accomplishment staying there is equally as important!

3 We re here to help! PORTLAND HOUSING CENTER Over 1,500 of our homebuyers became homeowners in the last 3 years! There are challenges and opportunities in the current housing market. We guide people of all incomes through the home buying process Over 240 people are currently saving for down payment on our matching program and will receive $3 for every $1 they save (up to $8,000!)

4 THE PORTLAND HOUSING CENTER IS A private, non-profit corporation Comprehensive one-stop homeownership center HUD-approved housing counseling agency Member of national homeownership center networks Oregon licensed non-profit mortgage broker Down payment assistance resource

5 OUR MISSION Everyone deserves access to homeownership We make it possible through quality EDUCATION, COUNSELING and FINANCIAL SERVICES

6 COME ON IN!

7 I have been telling people to go to Portland Housing Center to learn about buying a house They will help you find answers! Financial Fitness helped Claudia take a hard look at her spending. The lessons she learned and the desire to save have stuck with her, even after the class and home purchase.

8 The people at PHC were looking out for me and I am in awe of them. I have so much respect for how they help people. Karen, once homeless, now owns a home for family. With Portland Housing Center s help and the IDA program she was able to build strong credit and save for a down payment.

9 The staff at the PHC were on my team. They changed my perspective and made the home buying process accessible. Portland Housing Center s one stop shop gave Luc the knowledge and access to home buying professionals she needed to be confident in her purchase.

10 AM I READY TO BUY? Do you have A monthly budget or spending plan? Steady income and employment history? A manageable level of current debt? A record of paying your bills and your debts on time? Some money saved for a down payment? Not there yet? We re here to help!

11 IS NOW A GOOD TIME TO BUY? If you are ready for the responsibility of homeownership, now is a GREAT time to buy!

12 HOMEOWNERSHIP SERVICES HomeBuyer Assessment Financial Fitness and culturally-specific financial education HomeBuying 101 HomeBuyer Counseling Matched Savings Program (Individual Development Account) Down Payment Assistance Programs Affordable, fixed rate home loans and mortgage counseling Pre-Closing Meeting and Loan Document Review HomeOwner Classes

13 WE ARE MULTI-LINGUAL All of our services are available in English and Spanish Todos nuestros servicios estan disponibles en Español Let us know if you have a need for other language accommodation or any other access needs We have offices in Beaverton and Portland.

14 A four-week workshop series that will change the way you manage your money! Explore money values and habits. Set achievable financial goals. Maximize use of a budget. Use credit wisely. Prepare your finances for successful homeownership. Protect yourself from identity theft and predatory loans.

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17 Offered in person and online!

18 PHC MORTGAGE FINANCING OPTIONS FHA (Federal Housing Administration) Loans ODVA (Oregon Department of Veteran Affairs) USDA Rural Loan Program Conventional fixed rate financing options Mortgage Credit Certificate (MCC) All of our loans are fixed rate mortgages - the safest kind Contact: Heidi Martin, Lending Manager NMLS # ML-4654 NMLS ID#

19 DOWN PAYMENT ASSISTANCE PROGRAMS A number of local programs can help with down payment, lower your monthly mortgage payments, and/or increase your purchasing power! Eligibility is based on income, property location and other factors We also offer a matched savings program ML-4654 NMLS ID#

20 HUD 2015 MEDIAN INCOME Household Size 80% 100% 1 $41, $ 51,730 2 $47, $ 59,120 3 $52, $ 66,510 4 $58, $ 73,900 5 $63, $ 79,812 6 $68, $ 85,724 7 $72, $ 91,636 8 $77, $ 97,548 Programs with income cap of 80% Median Income: Individual Development Account (IDA) Mortgage Assistance Program (MAP) Gresham Welcome Home Program Clackamas HomeBuyer Assistance Program (CHAP) Down Payment Assistance Loan (DPAL) Proud Ground (Land Trust) Home$tart DreamMakers Grant (80%, not higher than $55,000) Programs with cap of 100% Median Income Limited Tax Exemption Eligibility for most but not all - assistance programs is 80% median income. Check program guidelines.

21 ASSISTANCE PROGRAMS Mortgage Assistance Program (MAP) (Portland Housing Center 2 nd mortgage, reduces cash to close) Tax Abatement Program through PHB (freezes property taxes for 10 years) DPAL Silent 2 nd Mortgage (a 2 nd mortgage loan with no monthly payments) Mortgage Credit Certificate (MCC) (reduces your tax withholdings to assist with mortgage payments) IDA Matched Savings Program (Matches savings 3:1, up to $9,000 for down payment) Clackamas CHAP Program (Down payment assistance for purchasers in Clackamas Co.) Welcome Home Gresham Homebuyer Assistance Program (Down payment assistance for buyers in City of Gresham.) Home Sweet Home grant program ($2,000 grant available through OBA member banks) Visit for an updated list!

22 MORTGAGE ASSISTANCE PROGRAM 2 nd Mortgage up to $50k Low down payment, lowers monthly payments by eliminating mortgage insurance Reduced total cash to close needed Income eligibility: 80% Median Family Income or under Low interest rates, fixed terms Available in Multnomah, Washington and Clackamas Counties ML-4654 NMLS ID#

23 MAP COMPARISON FHA Insured Loan Example: Conv. Loan w/map 2 nd Example: Purchase Price: $200,000 Purchase Price: $200,000 Monthly Payment: $1,159 Monthly Payment: $1,209 Mortgage Insurance: $217 Mortgage Insurance: None Total Payment: $1,376 Total Payment: $1,209 Cash to Close: $12,591* Cash to Close: $3,500** *Based on 3.75% interest rate, **Factors in $4,800 credit from the Oregon $250 for taxes and insurance. Bond Cash Advantage program, 3.625% interest rate, $250 for taxes and insurance. ML-4654 NMLS ID#

24 MATCHED SAVINGS PROGRAM (IDA) Matched savings program for each $1 you save, we match $3 Can help you gain up to $8,000 for home purchase 80% of median family income to qualify How to get started Meet with a HomeBuying Specialist Complete IDA Application if eligible Complete financial education and HomeBuying 101

25 OREGON BOND LOAN RateAdvantage: Lower than market fixed interest rate (this increases your purchasing power!) CashAdvantage: Slightly higher fixed rate along with cash assistance equal to 3% of the loan amount. The cash assistance will help reduce the total closing costs. Income caps: 1-2 person household $83,280 3 or more person household $97,160 9 year recapture period

26 RESOURCES Down Payment Programs Proud Ground (Land Trust) Portland Housing Bureau Habitat for Humanity For up to date information on down payment assistance programs:

27 WHERE DO I START AND NEXT STEPS? Complete Pay one time $75.00 materials fee (non-refundable). You will respond to a series of questions to get you to the right services for you. You ll schedule your appointment and/or class online. We ll run a Soft Touch credit report (that does not lower your credit score). If you are already working with a lender and they have pulled your credit, please note that in your registration.

28 WE LL TAKE YOU HOME!