What is the Metro Mortgage Assistance Plus program?
The Denver Metro Mortgage Assistance Plus Program is is an amazing program that actually gives you a 4% grant to go towards your down payment and closing costs. This is a grant you don’t pay back.
Yes, you heard me right. The City of Denver has set up this amazing program to help people achieve homeownership in 20 different cities, Broomfield, Bennet and Castle Rock were just added.
The 4% grant is a percentage of the base loan amount. See below for an example of a $200,000 purchase price with an FHA loan. FHA requires a minimum down payment of 3.5% and adds 1.75% for the FHA Up Front Mortgage Insurance Premium on top of the base loan amount.
Purchase price $200,000
Minus 3.5% -$7,000
Base loan amount $193,000
Plus 1.75% MIP +$3,377
= Loan amount $196,377
4% grant = $7,720 – WOW! You never have to pay this back!
In this scenario you would have enough to pay the $7,000 down payment and have $720 left over to apply towards your closing costs.
How do I qualify for this program?
- Have a minimum middle credit score of 640
- Have a maximum debt to income (DTI) ratio of 45%
- Income must be below $91,100 for 1-2 person households & below $103,000 for 3 or more person households.
- Complete a HUD approved homebuyer education class.
- Complete a loan application with an approved MMAP lender and meet the standard loan guidelines for FHA or VA. Call Sean Young at 303-521-7169 to get started.