The City of Kenner Department of Community Development has developed a first time home buyer assistance program similar to the programs we have discussed previously. This program is designed to provide financial assistance to low, moderate, and median income households interested in purchasing their first home. The program has been created to provide access to home ownership for families whose gross annual household incomes are at or below 80% of the New Orleans Area median income as defined by HUD. The city hopes that this program could provide an increase in home ownership rates within the city of Kenner.
Successful applicants to this program will be eligible for a deferred payment loan up to $35,000 to be used toward the down payment, closing cost assistance and to reduce their primary mortgage loan amounts.
The grant is a soft second mortgage with will be forgiven according to specify grant terms and an affordability period established by HUD. For example, an applicant receiving $20,000 in program assistance would be required to live in the newly purchased home for ten years in order for the loan to be fully forgiven. When the deferred payment loan is forgiven it will negate the first-time homebuyer from repaying the money received.
The amount of the deferred payment loan is based on the financial need of applicant’s household, selling price of the property, and the households assets. Repayment of these funds is required if the home is sold, conveyed, granted or otherwise transferred during the occupancy period, vacated or abandoned as a primary residence during the occupancy period, or used as investment or income producing property.
In order for a property to be eligible for the program, the property must be an existing or newly constructed single family residence located in the incorporated areas of the City of Kenner. Also, it must be an owner-occupied property and served as the applicant’s primary residence. The property must also be a single unit dwelling, meet local codes, housing quality standards, and lead based paint standards, be acceptable to the primary lender and insurer of the property and have a sale price that does not exceed the maximum purchase price of $180,000.
In order to see if you quality for the program please visit the following link: City of Kenner First Time Buyer's Assistance Program
or contact the City of Kenner Department of Community Development at 504-468-7588.