RIHousing Launches New Down Payment Assistance Program for First-time Homebuyers
$10,000 in down payment assistance available to eligible homebuyers
Providence, RI – RIHousing today announced a new down payment assistance program for first-time homebuyers. The “10kDPA” program provides a $10,000 down payment assistance loan to eligible homebuyers in Rhode Island.
“We’re excited to be able to offer this new program to help first-time homebuyers with what is often the biggest hurdle to homeownership: the down payment,” said Carol Ventura, Executive Director of RIHousing. “Approximately 90% of our mortgage customers receive some form of down payment assistance, which greatly reduces the out-of-pocket expenses incurred during the mortgage process.”
Prospective homebuyers must obtain a RIHousing mortgage through a Participating Lender or through the RIHousing Loan Center. Homebuyers must have a minimum credit score of 660, occupy the home as their primary residence and be a first-time homebuyer purchasing a 1-4 family home or condominium in Rhode Island. The 10kDPA program is structured as a second mortgage and certain income limits and eligibility criteria apply.
“While the COVID-19 pandemic has negatively impacted many renters and existing homeowners, it has also intensified the desire by many to buy a home,” said Peter Pagonis, RIHousing’s Director of Homeownership. “While homebuying activity slowed due to the pandemic, it has significantly rebounded since May. Record low mortgage rates are providing opportunities for buyers to lock-in low monthly mortgage payments for future years.”
In order to participate in the program, homebuyers must complete a RIHousing-approved Homebuyer Education class. The course covers a number of topics, including budgeting, understanding credit, the closing process, and the costs associated with homebuying.
“RIHousing has been opening the doors to homeownership for almost 50 years. In that time, we’ve helped over 85,000 homebuyers invest in their future and achieve the dream of owning a home,” said Ventura. “For those who are in a position to do so, now may be a great time to purchase a home. In fact, for many, owning a home is an important first step to building wealth and investing in the future.”
More information on the 10kDPA program is available online at: www.rihousing.com/10kDPA.