Changes To The ACORN Program

Here is an update on some changes that have taken place on the ACORN program.

With all of the scrutiny on 100% financing that has come about, Bank of America and ACORN have made some changes to their program. They have gone back to a 3% down payment requirement and 620 credit score for ACORN.

The following is more information about the ACORN Loan Program:

• >ACORN Housing Corporation (AHC) is a nonprofit subsidiary of the Association of Community Organizations for Reform Now (ACORN).
• >Up to 97% loan-to-value.
• >No PMI required.
• >Down payment (If applicable) can come from gift or down payment assistance programs.
• >Seller can contribute up to 3% toward closing costs, escrows and prepaid items.
• >620 Credit score required for 1-2 unit properties, 660 for 3-4 unit properties.
• >$500 minimum investment from buyer/borrower.
• >30-year and 40-year fixed rate products and 10/30 fixed rate Interest only product.
• >Applicants’ income may not exceed the 80% of median income for each County/State. KC Metro 80% LMI = $52,560.00 (variations for each County & State).
• >Available in the following States:Arizona, California, Connecticut, DC, Florida, Georgia, Illinois, Kansas, Maryland, Massachusetts, Missouri, Nevada, New Mexico, New Jersey, New York, Oregon, Pennsylvania, Rhode Island, Texas, Virginia, & Washington
• >Primary residence only. Eligible property types include single-family homes, townhomes, condos, modular homes and two- to three-unit properties.
• >Allows for higher debt and housing ratios and the use of undocumented income.
• >Homebuyer education required and provided by ACORN.
• >For more information and instructions go to http://www.acornhousing.org/.

Good news: Bank of America still has their Community Accommodation 80/20 loan for low to moderate income borrowers that have no down payment. In addition they may do down payment assistance programs and grants to help ACORN applicants find the 3% down.

For more information about mortgages or buying/selling a home, email me at SellIt@SellThisDamnHouse.com