Down Payment Assistance

Down Payment Assistance is sponsored by Midtown Atlantic City Community Development Corporation (in partnership with Atlantic County Improvement Authority). Provides limited down payment assistance to individuals looking to purchase homes in Midtown Atlantic City to promote homeownership and neighborhood stabilization.

Atlantic City Homebuyers Assistance Program - Community Development - Atlantic County Improvement Authority (ACIA) Atlantic City Homebuyers Assistance Program Atlantic City Homebuyers Assistance Program This Program is made possible by funds from the Atlantic City Luxury Tax Fund to help promote primary home ownership and neighborhood stabilization in Atlantic City.

The Program can provide up to $30,000 in Down-Payment and Closing Cost Assistance to Households who have either lived in Atlantic County for at least 1 (one) year or have been employed in Atlantic City for at least 1 (one) year, who are making up to $131,000, who have not owned a home in the last 3 (three) years, and who are purchasing a HOME in Atlantic City with a maximum purchase price of $544,000.

Applicants identifying or identified as non-permanent residents of the United States or the State of New Jersey are disqualified from applying for this assistance program. The amount of assistance provided will be in the form of a deferred loan with no monthly payments due, notwithstanding borrower default.

Eligible Applicants Must: Have resided in Atlantic County for the previous 12 months or have been employed in Atlantic City for the previous 12 months; Have not owned a home for the previous 3 (three) years; Meet established income guidelines; Have the ability to obtain a non-high cost, fixed rate mortgage through a lender with an active NMLS license and the ability to do business in New Jersey.

Single family properties including townhouses and condominiums located within Atlantic City, NJ. Sales price of the property cannot exceed $544,000; The property must be applicant’s primary residence and maintained as same for entire term of loan. The Program may provide down-payment assistance up to 10% of the purchase price and up to $5,000 of eligible closing costs for a combined total amount not to exceed $30,000.

All down payment and closing-cost assistance is offered to the Homebuyer as a deferred 0% interest loan, secured by a mortgage, to be repaid to the Program at the time of resale, rent, refinance or any changes in title, plus a portion of the appreciation as detailed in the recapture agreement. ALL ADULT HOUSEHOLD MEMBERS MUST PROVIDE INCOME INFORMATION TOTAL HOUSEHOLD INCOME CANNOT EXCEED $131,000.

00 Income Includes: Wages, Tips/Commissions, Pension/Retirement, Unemployment, Disability, Social Security, Investment Income, Alimony, Child Support, Business Income, Rents, Royalties, Welfare, Annuities, Death Benefits. Repayment and Recapture Guidelines The loan may be forgiven if the property is maintained as the homeowner’s primary residence for the entire 20 year term of the loan.

The loan has a shared proceeds requirement that requires repayment of a portion of net proceeds to the ACIA in addition to the original loan amount at any time during the 20 (twenty) year term of the loan should the homeowner refinance the property or fail to maintain the property as their primary residence including vacating, renting, or selling the property within the first 10 (ten) years of the loan term.

Repayment before 5 years: Loan amount + 50% of net proceeds. Repayment between 6 to 10 years: Loan amount + 10% of net proceeds. Repayment between 11 to 20 years: Generally, this program participates with many other assistance programs including State sponsored assistance as well as specific Community Development Corporations sponsoring their respective Atlantic City Neighborhoods.

Additional assistance may depend on availability of funds, where the applicant currently lives or works, where the collateral property is located, and availability of current funds, all of which will be determined by ACIA at the time of receiving a completed application. Fequently Asked Questions Anyone who meets all the program guidelines set forth by the Atlantic County Improvement Authority.

Do I have to live in Atlantic City to qualify? No, but you must have either resided in Atlantic County for the previous 12 months, or have been employed in Atlantic City for the previous 12 months. Could I have owned another home?

Neither you nor anyone in your household may have owned a home at any time in the past 3 years. What are the income guidelines? The combined household members’ income may not exceed the income limits set forth each year by New Jersey Housing and Mortgage Finance Agency (see Income Guidelines Section).

What kind of property can I purchase? Single-family properties including townhouses and condominiums located within Atlantic City, New Jersey. What is the maximum purchase price?

The sales price of the property cannot exceed $544,000. 00 Must I live in the property, or can I rent it out to tenants? The property must be occupied by you as your primary residence and cannot be used as a rental property or sold during the loan term.

How much down-payment assistance can you provide? The Program can provide up to 10% of the purchase price not to exceed $25,000. Do you provide help with closing costs?

Yes, the Program can assist with up to $5,000. 00 toward eligible closing costs. Is there a maximum limit to the amount of assistance?

Yes, the maximum assistance the Program can provide is $30,000. 00. Do I have to make monthly payments on this loan?

No, the assistance will be recorded with the County Clerk as a mortgage lien and repaid when you vacate, sell, rent, refinance or transfer title of the property. Partial forgiveness is possible after 5 years and total forgiveness is possible after 20 years of residing in the property as your primary residence. What mortgage lender can I use to apply for this program?

Any mortgage lender with an active NMLS license and the ability to do business in New Jersey. Kevin Burns, Loan Specialist Atlantic County Improvement Authority Telephone: (609) 343-2390 Email: Burns_Kevin@aclink. org Monday through Friday, 8:00 am to 4:00 pm Frequently Asked Questions Anyone who meets all the program guidelines set forth by the Atlantic County Improvement Authority.

Do I have to live in Atlantic City to qualify? No, but you must have resided in Atlantic County for the previous 12 months or are employed in Atlantic City. Could I own another home?

Not you or anyone in your household could have owned a home for at least the past 2 years. What are the income guidelines? Depending on the number of household members, combined members income must fall between $36,500.

00 and $100,000. 00. What kind of property can I purchase?

Single family properties including townhouses and condominiums located within Atlantic City, New Jersey. What is the maximum purchase price? The sales price of the property cannot exceed $250,000.

00. Must I live in the property or can I rent it out? The property must be occupied as your primary residence and cannot be purchased or used as a rental property.

How much down payment assistance can you provide? The Program can provide up to 10% of the purchase price. Do you provide help with closing cost?

Yes, the Program can assist with up to $5000. 00 toward eligible Is there a maximum limit to the amount of assistance? Yes, the Program can provide up to $30,000.

00 toward down payment and closing cost assistance. Do I have to make monthly payments on this loan? No, the assistance will be recorded as a deferred loan and paid back when you sell or refinance the property.