June is National Homeownership Month. Homeownership helps to increase jobs, boost the economy and build prosperity. RealtyTrac®, the nation’s leading source for comprehensive housing data, released a joint report with Down Payment Resource analyzing the impact of down payment assistance on the cost of buying a home — including the down payment and monthly house payments for a median-priced home in 513 counties nationwide.
The report found that across all 513 counties analyzed, buyers using available down payment assistance programs can save an average of $17,766 representing 41 percent of a year’s wages compared to buyers who do not use down payment assistance. The total savings breaks down to an average savings of $5,965 on the down payment for a median-priced home.
Kimberly Hamilton of Broken Arrow writes, “We have rented my entire lifetime. My husband and I just closed on our new construction home this week. Our mortgage company was in contact with REI and we did not have to do any extra paperwork. Their gift allowed us to keep all the money we initially saved for the down payment and because of this we are nearing our second dream of being debt free. Thank you from the bottom of our hearts!”
The National Association of Realtors reported that the “most difficult step in the home buying process was saving for a down payment. A low down payment enables homebuyers to purchase a home sooner and start building equity rather than saving up for a few more years.”
“REI DPA programs help buyers overcome the initial cost of a home purchase. Roughly 90% of people using our program are first time homebuyers, and the average amount of assistance is $5,000. We are very proud that we have helped more than 5,400 Oklahoma families purchase a home,” said Dena Sherrill, REI Director of Housing.
The REI Gift100 program provides down payment assistance to eligible borrowers in the state of Oklahoma for a 30-year, fixed-rate mortgage. The down payment assistance is in the form of a gift to the borrower. There are no liens, deed restrictions, or second mortgages filed against the property when utilizing the REI Gift100. REI works with lenders across the state to provide down payment assistance of 3.5% or 5% of the total first mortgage loan amount to eligible individuals and families. The program is created to fulfill REI’s mission to provide housing opportunities to low income individuals and families.
Helping borrowers become educated homeowners is an important step in the home buying process. REI Down Payment Assistance offers online pre-purchase home buyer education through eHomeAmerica to help potential homeowners better understand the home buying process.
For 35 years, REI Oklahoma has created opportunities for people by providing access to capital for entrepreneurs, offering unique training and technical assistance, one-on-one business counseling, commercial business space, and providing access to homeownership through down payment assistance programs. REI Down Payment Assistance helped more than 775 families purchase a home last year, 92% were first-time home buyers. Find out more at http://reidownpayment.org/ or call 800.658.2823.