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 PORTLAND HOUSING CENTER We re here to help! Over 1,400 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 Private, non-profit corporation Comprehensive one-stop homeownership center HUD-approved housing counseling agency Oregon licensed non-profit mortgage broker Down payment assistance resource Member of NeighborWorks America

5 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.

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

7 Welcome! We re glad you re here

8 I am a big advocate for the program! It was amazing! Every married couple should take the Financial Fitness class, even if they don t buy. Taking Financial Fitness made financial discussions easier for Muhammed and Stephanie, and gave them the tools they needed to build their credit. The IDA program helped them build up savings to buy their new home.

9 The Portland Housing Center can help at any stage, no matter how early you are. Even with parents who were involved in the real estate industry, Chelsea found value in the classes offered by the Portland Housing Center. They were instrumental in helping her build a budget and understand what to expect in the homebuying process.

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? An understanding of the homebuying process? Not there yet? We re here to help!

11 IS NOW A GOOD TIME TO BUY? Source: Freddie Mac 30-Year Fixed Rate Mortgage Average Commitment Rate If you are ready for the responsibility of homeownership, now is a GREAT time to buy!

12 COUNSELING AND EDUCATION SERVICES HomeBuyer Assessment HomeBuyer Counseling Financial Fitness and culturally-specific financial education HomeBuying 101 HomeOwner Classes Matched Savings Program (Individual Development Account)

13 HOMEBUYER ASSESSMENT AND COUNSELING HomeBuyer Assessment What mortgage loan payment you can afford now compared to what you want HomeBuyer Counseling we talk about your goal for homeownership and time frame Review your financial documents; income, savings, household budget, tax return, credit report, etc. What adjustments do we need to make to get you to attain your desired loan payment. Together develop and Action Plan and monitor results.

14 FINANCIAL FITNESS A five-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.

15 GETTING YOUR HOUSE IN ORDER A five-week financial fitness course with a culturally and historically African American perspective. Topics Include: 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.

16 DECIDE TU FUTURO Un curso en español de 5 semanas de educación financiera en que Ud. participa en construir su poder financiero. Juntos exploraremos: La influencia de la familia y las tradiciones, en nuestras finanzas Cómo usar un presupuesto para llegar a fin de mes y poder ahorrar Cómo se establece el buen crédito Cómo creamos un balance sano entre prestamos y deudas Cómo construimos el poder económico latino con nuestras acciones individuales

17 HOMEBUYING 101 Ready to buy a home? HomeBuying 101 will teach you how! Offered in person and online! Determine how much you can afford. Find lenders and realtors you can trust. Learn how to shop for and compare loans. Protect yourself from predatory practices. Take advantage of downpayment assistance programs.

18 PHC MORTGAGE FINANCING OPTIONS Conventional fixed rate financing options FHA (Federal Housing Administration) Loans VA (Veterans Affairs) Loans USDA Rural Loan Program Contact: Terry Itami, Loan Officer OR NMLS # , WA NMLS # MLO 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 Down Payment Assistance Program- Individual Development Account ML-4654 NMLS ID#

20 HUD 2016 MEDIAN INCOME Household Size 80% 100% 1 $41, $ 52,260 2 $47, $ 59,760 3 $53, $ 67,230 4 $59, $ 74,700 5 $64, $ 80,676 6 $69, $ 86,652 7 $74, $ 92,628 8 $78, $ 98,604 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. ML-4654 NMLS ID#

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 $6,000 for down payment) Clackamas CHAP Program (Down payment assistance for purchasers in Clackamas Co.) Welcome Home Gresham Homebuyer Assistance Program (Down payment assistance for buyers in City of Gresham.) Home$tart grant program ($2,000 grant available through OBA member banks) Visit for an updated list!

22 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 $87,921 3 or more person household $101,109 9 year recapture period

23 MATCHED SAVINGS PROGRAM (IDA) Matched savings program for each $1 you save, we match $3 Can help you earn from $3,000 to $6,000 for home purchase 80% of median family income to qualify How to get started Meet with a HomeBuying Specialist Complete IDA Application and submit documents if eligible Complete financial education and HomeBuying 101

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

25 WHERE DO I START? Complete Pay one time $99.00 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/or realtor, please note that in your registration.

26 Thank You! We look forward to working with you!