Tucson Mayor Jonathan Rothschild this month launched his Help for Homebuyers homeownership initiaitive and announced the new Pathway to Purchase Down Payment Assistance Program.
The program provides a 30-year fixed rate mortgage for eligible borrowers, plus a down payment assistance (DPA) second mortgage of 10 percent of the purchase price, up to $20,000. The DPA second mortgage is a five-year forgivable lien against the property at zero percent interest with no required monthly payments. It can be used toward down payment, principal reduction and/or closing costs.
Buyers must live in the property as a primary resident for at least five years, have a minimum FICO score of 640, use a participating lender, attend an education workshop, and meet other requirements. The money is available on a first-come, first-served basis. Borrower(s) income cannot exceed $92,984, and the purchase price cannot exceed $371,936.