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Sussex County Homebuyer Assistance Housing Trust Fund

John Thomas May 13, 2022 Tags: ,
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Sussex County Homebuyer Assistance Housing Trust Fund is a Delaware Down Payment Assistance Program for homebuyers purchasing in Sussex County, Delaware. The program provides between $10,000 and $30,000 of assistance for down payment and/or closing costs. Prospective homebuyers must be purchasing the home to be their primary residence. If you would like to apply for the Housing Trust Fund Homebuyer Assistance program give the John Thomas Team a call at 302-703-0727 or APPLY ONLINE

What is the Sussex County Homebuyer Assistance Program?

The Sussex County Housing Trust Fund (SCHTF) is providing Direct Home Buyer Assistance to people purchasing a primary residence in Sussex county. The down payment assistance program is being administered by Sussex County Community Development & Housing Department (CD&H). The DPA Funds are available until December 31, 2024 or until the funds run out. Sussex County intends to use the Homebuyer Assistance funding to provide affordable homeownership opportunities to qualifying homebuyers purchasing homes in Sussex County Delaware.

Sussex County Delaware Down Payment Assistance Program

What are the Requirements for the Sussex County Home Buyer Assistance Housing Trust Fund?

The guidelines for the Housing Trust Fund are as follows:

  • Direct Buyer Assistance may be used for down-payment and/or closing/settlement costs.
  • Must Get Pre-approved for a mortgage loan from approved Lender
  • Home buyers must maintain the home as their primary residence
  • Home Buyers liquid assets may NOT exceed $15,000.
  • Home Buyers are NOT Required to be First Time Home Buyers
  • The home MUST be located in Sussex County Delaware
  • A Home Inspection is REQUIRED
  • Homebuyers must complete at least 8 hours of pre-purchase homeownership counseling through a HUD-approved counseling agency and receive a completion certificate.
  • Homebuyers MUST meet income restrictions based on household income.
  • Eligible Homebuyers will receive between $10,000 and $30,000 in assistance.
Sussex County Delaware Down payment assistance program

What Types of Properties are Eligible for the Home Buyer Assistance Program?

The Housing Trust Fund Assistance can be used to purchase the following property types:

  • Single Family Homes
  • Duplexes
  • Town Homes
  • Manufactured Homes on Permanent Foundations
  • Modular Homes
  • New Construction Homes

What are the eligible Mortgage Loan Programs that can used with the Sussex County Down Payment Assistance Program?

Each homebuyer must get approved for a mortgage loan from an approved mortgage lender such as Primary Residential Mortgage. The lender will help the homebuyer select a first mortgage loan to be used with the down payment assistance program. Below are the eligible loan types to choose from:

You can also participate in the Delaware Mortgage Credit Certificate program if you are an eligible first time home buyer.

Sussex County Homebuyer Assistance Housing Trust Fund

What are the Household Income Guidelines to Be Eligible for the Program?

In order to be eligible for the Sussex County Homebuyer Assistance Housing Trust Fund Money you must meet the household income guidelines based on the number of people in the household. This includes everybody in the home even if they are not going on the loan. So if Married couple but only husband going on the loan, household income must still include the wife’s income.

The amount of Down Payment Assistance you are eligible before is based on household income and number of people in the household. Below is a chart that shows the amount of the funds versus the household income:

Sussex Couunty homebuyer assistance housing trust fund

What are the Terms of the Homebuyer Assistance Program?

The Homebuyer Assistance Housing Trust Fund Program provides a second mortgage for between $10,000 and $30,000 secured against the property being bought. The assistance funds are in the form of a silent second mortgage at 0% interest with no required monthly payments. The funds are only paid back if the house is sold or the property is transferred. The mortgage has a prorated pay back and is considered satisfied after 10 years. So if you stay in the house for at least 10 years, the money is forgiven and you owe $0.

Sussex County Homebuyer Assistance Housing Trust Fund DPA

What are the Housing Counseling Requirements?

Anybody wishing to participate in the program that meets the program guidelines MUST complete 8 hours of HUD approved home buyer counseling prior to closing on the purchase of the new home. Each borrower on the loan must complete the required counseling. The counseling can be taken at a HUD approved counseling agency. Below is a list of some local to Sussex County:

  • NCALL Research – (302) 855-1370
  • First State Community Action Agency – (302) 856-7761
  • Interfaith Community Housing of Delaware – (302) 652-3991 x100
  • Neighborhood House – (302) 658-5404 x118

How Do you Apply for the Sussex County Homebuyer Assistance Program?

You can get started by applying with the John Thomas Team with Primary Residential Mortgage. We will get you approved for the mortgage loan and calculate your household income to determine which amount you qualify for, $10,000, $20,000 or $30,000 in assistance. You will then take your 8 hours of home buyer counseling after being pre-approved. Give us a call at 302-703-0727 with questions or to get started on being approved for the program. You can also APPLY ONLINE

Sussex County Delaware Down Payment Assistance Program Application

About John Thomas

John Thomas and his team are long-time Delaware natives. They know the local real estate market as well as they know the loan products that help them serve it. Dedicated to helping first-time buyers; the John Thomas Team are experts on first-time buyer loan programs (FHA, VA, USDA) and conduct monthly first-time buyer seminars that have been attended by more than 3000 Delaware buyers.

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