For many first-time homebuyers, coming up with the money for your first down payment can be a challenge. Fortunately, there are many programs available to first-time homebuyers and others who may need extra assistance as they make this huge investment.
First Fidelis is a leading mortgage lender in Kansas City that will coordinate the application, approval, and wiring of funds process for anyone looking to take part in the DPA Advantage Program. But what exactly does this program do, and who is eligible for it?
What Is the DPA Advantage Program?
The DPA Advantage Program is a down payment assistance program administrated by AFR Wholesale. Although AFR is the administrator for DPA Advantage, the program itself is offered by a governmental entity. In recent years, this program has moved nationwide to help a wide variety of eligible borrowers.
The DPA Advantage program works by offering assistance in the form of a grant that’s equal to 3.5% of the home’s purchase price. Because it’s a grant, no repayment is required; this program offers a true no-money-down-solution for homebuyers everywhere.
Some other highlights of the AFR DPA Advantage program include:
- There are two grant amount option: a 2% grant and a 3.5% grant.
- No borrower or resale repayment restrictions.
- Second lien on the property not required.
- Offers up to an additional 3% that can go toward closing costs.
- May be combined with seller closing cost assistance of up to 6%.
- Borrowers who do not need a no-money-down-solution may be eligible for a lower interest rate.
- This program can be used in addition to other programs at First Fidelis, including the FHA 203(b) program, many of our FHA renovation programs, and our FHA One-Time Close program.
Between the grant amount and the ability to contribute up to 6% of the purchase price toward closing costs, borrowers could potentially close on an FHA loan for as little as 1.5% of the home’s final purchase price.
Who Is Eligible for DPA Advantage?
To qualify for the DPA Advantage program, you must have a credit score of at least 620 or higher. Any first-time homebuyer, including homebuyers that haven’t owned a house in at least three years, are eligible to apply for this assistance program. This program is also available to borrowers who are current, volunteer, retired, non-paid, or plan to become any of the following:
- First responders including firefighters, police officers, paramedics, public safety officers, or emergency medical technicians
- Civil servants working in local, state, or federal municipalities
- Medical personnel including doctors, nurses, health ambassadors, phlebotomists, hospital workers, or American Red Cross workers
- Military or active-duty members
- Those buying any eligible properties located in an underserved census tract, which you can research by zip code online
If you would like to learn more information about the DPA Assistance Program, or if you’re looking for a local mortgage lender in Kansas City, contact First Fidelis today. We offer a range of loan programs for everyone, including first-time home buyers and veterans. Give us a call at 913-205-9978 or start your pre-approval home application online.