HART Down Payment Assistance Program

HART Down Payment Assistance Procedure for Agencies

HART’s Down Payment Assistance Program was launched in July of 1998, it is one of the most recognized gift programs nationwide. The program has helped more than forty thousand families across the country to realize the dream of homeownership. The program assists prospective homeowners who qualify for a mortgage loan, but require down payment assistance or the closing costs necessary to purchase a home. Builders/sellers participation is necessary to help HART, a non-profit organization, in its efforts to assist future homebuyers. By making a contribution of the gifted amount & the HART processing fee (if paid by the sellers) after closing, the builder/seller helps to replenish the “blind mixed pool of funds.”

Buyers Guidelines:
1. Buyers must qualify for a primary mortgage loan
2. Buyers must occupy property being purchased with program funds
3. Buyers must have Builders/Sellers participation

The program may be utilized with any loan package that allows gift funds from a non-profit organization. These funds could be used towards the purchase of new or resale of single-family detached home, condominium, townhouse, manufactured mobile homes, and one-to-four owner occupied units. The homebuyer may purchase their home anywhere within the U.S. and must become the buyer’s primary residence.

Homebuyers can receive up to $25,000 of Down Payment Assistance, and could be used towards to the following:
· Down Payment · Points buy-down · Prepaid
· Closing Costs (recurring and non-recurring)

The fee to utilize the HART Down Payment Assistance Program is a flat dollar amount, and it can be paid by buyer, seller/builder, broker, lender, realtor or split between all parties:
Resale Homes = $500 New Construction = $350
Buyer: If the buyer paid all or any portion of the HART fee, the fee must be collected and submitted to HART along with the buyer’s application.
Seller/Builder: All or any portion of the HART fee paid by seller/builder is excluded from the contribution and will be collected after closing. This fee and contribution will not apply if the transaction was not completed.
Lender/Broker/Realtor: Any amount of the HART fee paid by the Lender, Broker or Realtor will be collected at closing.