New Cleveland Heights down-payment assistance program gives homebuyers a boost

Few things in life are free, but for income-qualified buyers, buying a home in Cleveland Heights just got a little easier thanks to a new free resource. The Home Repair Resource Center (HRRC) has announced it is offering down-payment assistance to qualified buyers who want to purchase a home here. 

The program, funded with American Rescue Plan Act (ARPA) funding from the city of Cleveland Heights, offers up to $30,000 in down-payment assistance to buyers who earn less than 120 percent of area median income (that's about $75,000 for a single individual; more for couples and families).

The down-payment assistance comes in the form of a five-year loan at zero percent interest. Buyers would not have to make payments on the loan as long as they're in the home.

Additionally, for qualified buyers, the loan is 50-percent forgivable after five years, as long as the home is in a qualified census tract in Cleveland Heights. Outside of a qualified census tract, the loan is to be repaid if the buyer sells the house. For this program, the sales price limit for buyers is $313,500.

In addition to meeting the income criteria, applicants must receive a certification of pre-purchase and home-maintenance counselling from a U.S. Department of Housing and Urban Development (HUD) approved agency. HRRC offers homebuyer education classes every month via Zoom, and one can easily register on its website.

Additionally, potential purchasers need to contribute a minimum of 3.5 percent of the sales price toward the home purchase. They will also need approval and a first mortgage commitment from a mortgage lender.

For more information and to fill out an application, visit www.hrrc-ch.org.