Do you know your neighbors? Are they good neighbors? Are you a good neighbor?
If you are a teacher, firefighter, EMT, or law enforcement officer in Colorado (or anywhere for that matter) you may qualify for the Good Neighbor Next Door Sales Program. The US Housing and Urban Development section offers a 50% discount to eligible employees in these professions on homes in “revitalization” areas.
What is a “revitalization” area (besides the wrinkles on my face)?
A revitalization area is an area that is designated by the HUD and authorized by Congress under the National Housing Act. By offering this program, it promotes new homeownership activity in these neighborhoods. These areas change on a daily basis. Currently, there is a 2 bedroom, 1 bath home in Adams county listed at $132,000. That means through this program an eligible employee can get this home for $66,000!
There are some crazy good deals here!
So let’s say you are a teacher, firefighter, EMT, or law enforcement officer. Now what? You must meet the requirements of that profession. For example, a law enforcement officer must work full-time for the government, state, local government unit, or tribal government. They must also be sworn to uphold the laws and promise to arrest those who violate those same laws. Watch out bad guys!
A teacher must also be full-time and work for a state-accredited public or private school. Also, the house they are buying must be in the same school district they teach in. A teacher from Jefferson County wouldn’t be able to buy a home in Douglas County under this program.
Firefighters and EMTs must be a full-time (man, they really like to make people work for it!) employee for the state, government, or tribal government also. I am hoping my firefighter neighbor doesn’t secretly work for the Canadian government as a firefighter…..
The Fine Print….
A requirement for the Good Neighbor Next Door Program is for the buyer to sign a second mortgage for the discounted portion. This is a kind of insurance that the other requirement that the buyer has to use the home as their sole residence for 36 months is fulfilled. As long as it is made the sole residence for the 3 years, then no interest or payment has to be made on the second mortgage.
Show Me The Money…
VA loans, FHA loans, conventional mortgages, and also cash are all accepted forms of payment to buy a home under this program. Local Colorado buyer’s agents can provide more details and answer questions. Including eligibility of a buyer or information on loans that will work through this program.