HomeNow for Buyers

Just select your city in the locator tool above and click “Find a Lender.”

Easy! Contact a participating lender through the “Find a Lender” tool above, and ask if HomeNow is right for you. HomeNow does not require additional steps in the mortgage application process.

Education is always a good thing but only borrowers applying for conventional HomeReady loans are required to complete a class before closing their loan. You can do this online and on your own time or in a HUD-certified class. Borrowers applying for a government loan are not required to complete homebuyer education.

Yes. Income limits for conventional loans are based on the location of the home being purchased. Just type in the address on this cool HomeReady income eligibility tool. Income limits for FHA and VA government loans are county-by-county and capped at 115% of area median income. For USDA-RD loans, income limits are generally higher and based on 1-2 person households and higher still for 3+ person households.

A minimum FICO score of 640 is required.

Absolutely not! The program is available to all qualifying buyers, and is NOT limited to first-time homebuyers.

HomeNow interest rates are set on a daily basis and shared with participating lenders. Participating lenders can assess the cost of the interest rate and fees vs. the credits from down payment assistance grants and money-saving tax credits like the Mortgage Credit Certificate. All contribute to the monthly costs and benefits of a loan.

Repayment requirements vary by mortgage type but are generous and affordable in all cases. There are two options:

• A non-repayable grant that provides the instant equity that’s yours to keep and does not need to be repaid, ever. (Available for government-insured mortgages)
• A 0% interest, deferred loan that does not require payment until the borrower pays off the home, sells, or refinances. (Available for conventional mortgages)

Buyers work with their loan officers to determine the structure that best suits their needs.

Borrowers with conventional HomeReady loans will choose between two levels of assistance – either 3.0% or 5.0% of the total loan amount. Borrowers with government loans (FHA, USDA Rural Development or VA) will choose between 3.5% or 5.0% of the total loan amount. For example, 5.0% of assistance on a home with a purchase price of $200,000 that requires a 3% down payment will receive $9,700 of assistance ([$200,000 – $6,000] X 5.0%), enough to cover the down payment and some or all of the closing costs.

HomeNow down payment assistance can be combined with several different 30-year, fixed-rate mortgages. Participating HomeNow Lenders can advise you on the best mortgage for you based on your credit score, income, debt, purchase price, etc. Mortgage choices include conventional HomeReady mortgage from Fannie Mae or loans from the Federal Housing Administration (FHA), USDA Rural Development or the VA.

HomeNow helps a wide range of borrowers: low, moderate and middle income borrowers can qualify. Young, old or middle age. First-time homebuyers or borrowers returning to homeownership after renting or staying with family. Recent graduates with student debt. We’ve helped nurses, police officers, teachers, pilots, oilfield workers, construction workers, retail clerks, attorneys, and more.

HomeNow is the best down payment assistance choice for Montanans who have steady income, decent credit, but like so many people, don’t have the cash for a down payment.