New Castle Count Vacant Home Buyer Program VHAP

New Castle County Vacant Home Buyer Program VHAP II will be available for applications starting March 15, 2012. The program is called VHAPII for short an is an FHA approved Down Payment Assistance Program. The VHAP provides down payment and closing cost assistance for Delaware home buyers for up to $10,000 at a maximum of 6% of the purchase price. The money is provided in the form of a 2nd mortgage recorded against the property. The loan is at 0% interest and doesn’t have to be paid back until you sell the property, move out as primary residence, or refinance the property. You can apply for the loan with the preferred lender by calling 302-703-0727 or you can APPLY ONLINE.

The New Castle County VHAPII does not require you to be a first time home buyer, it only requires you to live in the property as your primary residence. The maximum purchase price of the home is $335,400 and the home must sell 1% below the appraised value. The home must have been vacant for 90 days preceding the date of the purchase contract. New Castle County requires that a home inspection and a visual lead inspection be performed on the property. No repairs are required by the county.

The New Castle County Vacant Home Program II does have income restrictions on who is eligible for the program. The annual household income must be at or below 120% of the median income. The chart below shows the maximum income per household size:

Eligible Income Limitations for VHAP Program for 2012

Household size Maximum Income

1 Person  $67,550
2 Person $77,200
3 Person $86,850
4 Person $96,500
5 Person  $104,200
6 Person  $111,900
7 Person  $119,650
8 Person  $127,350

The VHAP II is only available on properties located in the following census tracts:
Census tracts: 103, 107, 139.02, 148.06, 148.08, 149.02, 149.03, 149.05, 152 and 163.03

You can check to see if a property is in the right census tract by going to the following website: http://www.ffiec.gov/  You must select geocode mapping and select 2010 for the year then you can input the property address you are interested in purchasing in New Castle County.

Each applicant for the VHAPII is required to complete 8 hours of HUD-approved homebuyer counseling.  You can register for a monthly class sponsored by The Neighborhood House at www.DelawareHomeBuyerSeminar.com  You must meet with a home counselor to complete the application which is not available till March 15, 2012.  Once the application is submitted to New Castle County, there is a minimum of 20 days to process the application.

There are two forms that are required to be signed before you can submit an application for the program and they should be included with the purchase contract when present the offer to the seller.  The two forms are Buyer Seller Affidavit and Seller Occupancy Certification.

If you would like to apply for the New Castle County Vacant Home Program II with preferred lender, call 302-703-0727 or you can APPLY ONLINE.

John R. Thomas – NMLS 38783

Certified Mortgage Planner – Primary Residential Mortgage, Inc.

302-703-0727 DE Office / 610-906-3109 PA Office / 410-412-3319 MD Office

248 E Chestnut Hill Rd, Newark, DE 19713