Buying a home in Atlanta can be a challenging prospect for anyone, but especially if you are buying a home for the first time. Qualifying for a mortgage can be sometimes difficult for those with limited work or credit history, and then there are the hefty down payment and closing costs to consider. First-time buyers can often qualify for FHA, VA and USDA loans which have more relaxed qualifications and lower down payment requirements, but even these loans are sometimes not enough to help buyers over the finish line. Fortunately, there are a number of additional programs available in Atlanta to help first-time homebuyers meet these challenges. Let’s look at five first-time Atlanta homebuyer programs you might want to explore.
1. Georgia Dream Program
Offered through the Georgia Department of Community Affairs, the Georgia Dream Program is perhaps one of the most comprehensive homeownership assistance programs in the country. This program serves almost as a “one-stop shop” for qualifying buyers by coordinating affordable loans with participating lenders as well as offering between $5,000 and $15,000 in down payment assistance through a variety of programs for qualified applicants. In most cases (not all), the down payment assistance must be repaid when you sell or move out of your home.
2. Invest Atlanta
This non-profit organization is the official economic development authority for the City of Atlanta, and among their initiatives are a variety of down payment assistance programs to help first-time buyers make it to the closing table. Each of their programs has different criteria to qualify, but most of the down payment grants are fully forgivable after living in the home for a certain length of time.
3. Fulton County Home Ownership Program (HOP)
For buyers seeking a home in the suburbs of Fulton County, the county offers its own Home Ownership Program (HOP) through funding by the Department of Housing and Urban Development. First-time buyers must buy their home in certain parts of the county, meet certain income requirements and work with one of the preferred lenders in order to qualify. The down payment assistance is a six-year deferred loan that is forgivable by 20 percent for each year the resident lives in the home.
4. Gwinnett County Homestretch Down Payment Assistance Program
Located northeast of Atlanta, Gwinnett County also offers its own down payment assistance program, offering up to $7,500 in down payment assistance for first-time buyers who meet eligibility requirements. Similarly to the Fulton County program, down payment assistance is a deferred payment loan reduced by 20 percent per year of residence.
5. Help from Your Local Lender
Apart from all these first-time Atlanta homebuyer programs, local institutions may offer their own programs geared for first-time buyers. For example, Georgia’s Own Credit Union is just one local lender offering 100-percent mortgage financing for qualified applicants. Check with local Atlanta banks and credit unions for which you might qualify for membership—you might be surprised at what they offer.
When you’re ready to find your first Atlanta home, we are here to help you find the perfect fit. Call Atlanta Fine Homes Sotheby’s International Realty at 404.948.4812.