Ucci and Fellela herald new program for down payment grants for Johnston homebuyers
STATE HOUSE – Rep. Stephen R. Ucci and Rep. Deborah Fellela are urging residents to take advantage of a new program to help qualified first-time homebuyers purchase homes in Johnston.
Rhode Island Housing has launched a new program to provide homebuyers with $20,000 to help fund down payments on foreclosed homes in communities that are the hardest hit by the housing crisis. The funds come in the form of loans that homebuyers do not have to repay as long as they remain living in the home as their primary residence for at least five years and do not sell or refinance it.
Johnston is among the communities declared eligible, and the two Johnston legislators urged those considering buying a home in town to take advantage of the new program, called the Renewed Homes Grant program.
“This is a tremendous opportunity for anyone who is interested in becoming a homeowner. Saving up for a down payment can be a monumental challenge for many first-time homeowners, and this program can provide a huge boost that will make homeownership possible for many people, both by providing substantial assistance with a down payment and, in turn, helping them lower their monthly mortgage payments,” said Representative Ucci (D-Dist. 42, Johnston, Cranston).
Said Representative Fellela (D-Dist. 43, Johnston), “This is the kind of program that makes all the difference for families who want to make the leap into homeownership. It can be life-changing. At the same time, it will also make a very positive impact on our community, because it will mean fewer vacant homes and more vibrant neighborhoods.”
To qualify of the program, the property must have been in foreclosure, receivership, transferred by deed in lieu of foreclosure or approved for short sale by a mortgage lender. The buyer must be a first-time homebuyer purchasing a one- through four-family home or condominium, live in the home and be its first buyer after the property became eligible for the program. The program’s annual household income limits are $89,280 for households of one or two people and $104,160 for households of three or more. All participants must obtain a Rhode Island Housing first mortgage through a participating lender or Rhode Island Housing. The maximum purchase price allowed through the Rhode Island Housing Loan Center is $407,195 for a one- to four-family home or eligible condominium. The maximum loan amount for a FirstHomes loan through a participating lender is $417,000.
For more information on the Renewed Homes Grant program or to begin the application process, visit RenewedHomesRI.org.
For more information, contact:
Meredyth R. Whitty, Publicist
State House Room 20
Providence, RI 02903