I am the South Texas Program Director for Neighborhood Gold, and would like to clear up some issues posted by Erin.
First, Neighborhood Gold provides grants to approximately 2200-2500 families monthly Nationwide. There is an abundance of sellers that participate in the program, including the largest national homebuilders. For instance, in San Antonio there are over 4000 properties that qualify for purchase with Neighborhood Gold and 6 of the top 10 builders participate in the program. Most, however, do not take advantage of listing their home on our website, which is free of charge.
Second, most grants are provided on FHA home loans, which would not require the buyer to come up with more than 10% of the sales price to qualify for purchase. Even those with poor credit can utilize the program.
Lastly, this program is not just used by first time homebuyers. It is used by those that do not have all the down-payment neccessary, by those who wish to pay off some debts with their own funds and use our grants to purchase a home, and by those that wish to preserve their savings and still purchase a home.
I encourage those that have questions to contact Neigborhood Gold toll-free at 888-627-3023 and ask to speak to their local program director to receive up to date local information.
Thank you,
Jason Blackburn
South Texas Program Director
Neighborhood Gold
(888) 627-3023 Jason@neighborhoodgold.com
I found a reference for this information from another website and went directly there. (It’s too late to help me with my deal - see my earlier posting today on the financing section of this site “HELP”), but this looks like a really good deal, especially if you’re trying to buy a home you’re planning to live in.
This is grant funding for a downpayment and you have to use their lenders. I called the phone number instead of emailing them, and spoke to a lovely person who said, okay I’ll fax you everything you need. She faxed me a listing of national lenders who will accept the grant as downpayment on a deal, together with a very helpful package of “how to” information and the application.
If you’re looking for a grant for your downpayment, try this website.
Hope this is helpful (wish I knew about it earlier).
In this “Neighborhood Gold” program, it appears the selection of properties is EXTREMELY limited - I researched major area codes in metropolitan areas, and found one or two participating properties in each - appeared to be all SFRs’, pretty houses, and the best-case maximum grant amount is 10%, as I understood the website.
And the grant comes from the seller(?) and so often may be much less than 10%(?)
So the value of this program seems to be very limited as far as creative deals. Also, with 10% or less from a conventional lender you will almost certainly pay mortgage insurance which jacks your costs up even further. Maybe something for the first-time struggling homebuyer to look at, but even that is questionable.