First-Time Homebuyers Programs on Staten Island

Purchasing your first home is a major milestone. Many feel like achieving this goal is impossible given the current trends of the residential housing market. Thankfully, there are resources first-time homebuyers can benefit from. Salmon Real Estate is one of the oldest independently owned real estate companies on Staten Island. Here, we explain first-time homebuyer programs and other assistance available to people wishing to purchase their first home in the area.

What Is a First-Time Homebuyer Program?

First-time homebuyer programs are valuable resources that are intended to make it easier for people to purchase their first home by reducing costs and other barriers. There is a large variety of assistance programs to choose from, each with its own benefits and requirements. Certain programs are designed to offer down payment assistance through grants. Others are offered in the form of loans to help with housing costs. Most of these loans come with extremely low interest rates, while others can be completely forgiven if certain requirements are fulfilled.

First-Time Homebuyer Programs in the State of New York

The Federal Housing Administration assists people with loans for first-time homebuyers, but assistance programs are provided at the state level, as well. States and local governments offer down payment assistance, grants, and tax credits for residents who are buying their first home. The State of New York Mortgage Agency (SONYMA) offers those in the state an avenue to affordable homeownership through the following programs:

Achieving the Dream

The Achieving the Dream program, SONYMA’s lowest interest rate program, is intended to help low-income, first-time homebuyer applicants maximize the amount they can afford with minimal down payment required. This assistance program is available for 1-4 family homes, cooperatives, and condominiums on a 30-year loan. The Achieving the Dream program can be paired with other grants and subsidies.

Conventional Plus Program

Designed for primary residences only, the Conventional Plus Program combines 30-year fixed-rate mortgages with SONYMA down payment assistance for both first-time homebuyers and previous homeowners. Borrowers can use the assistance for closing costs and an upfront mortgage insurance payment, helping them avoid a monthly mortgage insurance premium.

Low Interest Rate Program

The Low Interest Rate Program enables qualified borrowers to secure a favorable interest rate. Interest rates are locked in for 120 days for existing housing, or 240 days for co-ops, distressed sales, or properties under construction. This assistance program can be combined with other SONYMA programs.

Down Payment Assistance Loans

One of the great advantages of this program is that, although it’s a loan, SONYMA’s down payment program does not require any monthly payments and interest is not charged. The loans are forgiven after ten years provided the borrower maintains their primary SONYMA financing and continues living in the home. Minimum down payment assistance loans are $1,000; the maximum is $3,000 or 3 percent of the home’s purchase price—whichever is higher, up to a $15,000 limit.

Navigating First-Time Home Buying with Salmon Real Estate

Buying a home can feel like a daunting task, especially for first-time homebuyers. The team at Salmon Real Estate is committed to making the home-buying process easier for all its clients. Our Realtors have invaluable experience and resources, such as a mortgage calculator, to help you buy or sell property. We will help guide you through first-time homebuyer programs that are available to you to help you get the home of your dreams on Staten Island, NY, as well as the surrounding markets.

Contact us today to speak with a team member about the programs and assistance available to first-time homebuyers in New York or to learn about our available listings.