The Waterloo Housing Authority administers a down payment assistance program, in an effort to increase homeownership opportunities for non-traditional first time home buyers.
The Waterloo Housing Authority partnered to reach non-traditional first time homebuyers. Targeted particularly are those low to moderate income households under represented and least likely to apply, to enable them to enjoy the benefits of homeownership within the jurisdiction of the Housing Authority.
A forgivable 2nd mortgage in the amount of the grant is required of each homebuyer, and any recaptured amounts will be used to replenish the loan fund if the homebuyer decides to sell in less than 5 years.
- An applicant must have successfully completed Home Buyer Training provided by Operation Threshold, or Family Management.
- An applicant must be a current resident of Waterloo for at least one (1) year.
- An applicant must be a first time homebuyer defined as neither party head or having ownership in a home or title to a mortgage within the within the last 36 months.
- An applicant may not own other residential property.
- If possible the homebuyer should cover closing costs from their own funds.
- Total family income cannot exceed 80% of median income for the MSA based on family size.
The Waterloo Housing Authority Offers a Home Ownership Voucher Program
The Section 8 Home Ownership Program permits eligible participants in the Section 8 Housing Choice Voucher Program, including participants with portable vouchers, the option of purchasing a home with their Section 8 assistance rather than renting. The home ownership option is limited to three percent (3%) of the total Section 8 voucher program budgeted by WHA in any fiscal year, excluding disabled and elderly families.
The program is available to current participants who have completed an initial Section 8 lease term consisting of 12 months, do not owe monies to the City of Waterloo Housing Authority or any other Housing Authority for any outstanding debts, and who meet the eligibility criteria set forth below. Additionally, participants who are in violation of their family obligations while receiving Section 8 assistance shall be ineligible for participation in the Section 8 Home Ownership Program.
To participate in the Voucher Homeownership Program, the following must be met:
- Annual income equal to the current minimum wage x 30 hours/week
- At least one year of continuous employment
- First-time homeowner
- Completion of Homebuyer Pre-Purchase education classes
- Completion of Money Smart Financial Education classes (sponsored by the Housing Authority in the Spring and Fall of each year)
Eligible home buyers using conventional financing may now benefit from $1,500 in closing cost assistance.
The closing cost assistance is available for a limited time only and is expected to assist approximately 230 home buyers.
More information is available here.