DSHA Delaware Diamond DPA Program
DSHA Delaware Diamond DPA Program launches June 15, 2023 and gives Delaware Essential Workers $15,000 toward purchasing a home in Delaware. If you are a current Delaware Resident living and working in Delaware as an “Essential Worker” then don’t miss this opportunity to get $15k from the Delaware State Housing Authority to help you purchase a home. Limited Funding so call now to get started at 302-703-0727 or APPLY ONLINE.
WHAT ARE THE GUIDELINES FOR THE DSHA DELAWARE DIAMOND DPA PROGRAM?
The DSHA Delaware Down Payment Assistance Program (DPA) will be a soft second mortgage loan for $15,000 toward closing costs & down payment. The loan will be forgiven after 10 years. In order to qualify must be a Delaware Resident that is currently working in Delaware as an Essential Worker. Below are the guidelines for the Program:
- All borrowers MUST have a Minimum 620 Credit Score to be eligible to apply
- Must Purchase property in Delaware as your primary residence
- Must be under the household income limit for the county and household size
- Maximum purchase price for New Castle County is $539,250
- Maximum purchase price for Kent & Sussex County is $481,176
- Must be a Delaware Essential Worker as defined by DSHA
- Must be a Delaware Resident at the time of application
- $15,000 Forgivable Second Mortgage Loan at 0% Interest
- Second Mortgage is Forgiven after 10 Years
- MUST use DSHA Smart Start Home Loan Program as First Mortgage from DSHA Approved Lender
- Available in New Castle County, Kent County, & Sussex County
- Must take 8 hours of HUD Approved Counseling if Credit Score less than 660
- Can be combined with the Delaware Mortgage Credit Certificate
WHAT ARE THE ESSENTIAL WORKER’S OCCUPATIONS?
The Delaware Diamond DPA Program requires the borrower to be an “Essential Worker” as defined by DSHA. If More than One borrower on the loan, ONLY ONE borrower must be an essential worker. Below is a detailed list of acceptable professions for the program:
- Veterans (Army, Navy, Air Force, Marines, Coast Guard, Space Force, National Guard, and Reserves)
- Education (Employed by School District, Employed by Daycare Facility that is licensed childcare facility or licensed registered home childcare provider)
- Medical Field (Employed by a Hospital, Registered Nurse (RN), Licensing Practicing Nurse (LPN), Advanced Practice Registered Nurse (APRN), Certified Nursing Assistant, Health Care Practitioner, Physician, Physician Assistant, Social Worker, Employed by a Nursing Home
- First Responders (Fire Fighters, Police Officers, Emergency Medical Technician (EMT), Paramedic, Volunteer First-Responders)
- Grocery Store Employees (Employed by Grocery Store Chain which is Acme, Giant, Wegmans, ShopRite, Food Lion, Redner’s, Lidl, Janssens’ Market, Weis Markets, Zingo’s, Safeway, Aldi, Trader Joes
- General & Wholesale Merchandise Retailers (ONLY the Following: Walmart, Target, Costco, Sam’s Club, BJ’s Wholesale)
- Delaware State Employees (Must be employed by the State of Delaware)
*MUST be on your Essential Worker Job for at least 6 months prior to loan application in order to qualify for the DSHA Delaware Diamond DPA Program and be currently Living in the State of Delaware.
WHAT ARE THE ELIGIBLE PROPERTY TYPES FOR THE DPA PROGRAM?
The DSHA Delaware Diamond DPA Program allows borrowers to purchase properties that are on the eligible list. The following are eligible property types for the DPA program:
- Single Family Residence
- Townhomes / Row Homes
- Warrantable Condos
- Planned Unit Developments (PUDs)
- Manufactured Homes that Meet guidelines (660 Minimum Credit Score)
- 1-4 Unit Properties as Long as will live in 1 Unit
Properties that are NOT eligible for the DSHA down payment assistance program:
- Rental Properties
- Second Homes
- Non-Warrantable Condos
- Investment Properties
WHAT ARE THE INCOME RESTRICTIONS FOR DELAWARE DIAMOND PROGRAM?
In order to be eligible for the DSHA Delaware Diamond Down Payment Assistance Program, borrowers must be under the household income limits based on the county in which the property is being purchase and the number of people in the household. Household income includes all income from anybody living in the household even if they are not on the mortgage loan. The income limits for 2023 are as follows:
WHEN AND HOW IS THE $15,000 FORGIVABLE MORTGAGE LOAN PAID BACK OR FORGIVEN?
The Delaware Diamond forgivable second mortgage loan is only forgiven if you occupy the property as your primary residence for at least 10 years. If you refinance or sell the home prior to the 10 year mark, then you will be required to pay back a prorated portion of the $15,000. The amount owed is reduced by 10% each year that you live in the property. Below is a chart that shows how much you would still owe after each year living in the property.
HOW DO YOU APPLY FOR THE DSHA DELAWARE DIAMOND DPA PROGRAM?
If you are looking to apply for the Delaware Diamond DPA Program you must apply through a DSHA approved lender such as the John Thomas Team with Primary Residential Mortgage. You can give us a call at 302-703-0727 or you can APPLY ONLINE FOR DELAWARE DIAMOND PROGRAM.