You probably already know that Home Is Possible (affectionately known as HIP) is a down payment assistance program for Nevadans who seek decent, affordable housing. But if that’s where your HIP knowledge ends, keep calm and read on.
Top 5 HIP Facts
1. It’s bonus money – no paybacks!
HIP is not a loan. It’s a gift with a no-return policy, which is especially nice given that the average bonus money amount received per household is $8,120. And with a one-time fee of just $675, that’s a lot of free Washingtons. If your loan value is higher than $203,000 (average loan value), you can expect even more bonus money.
2. Generous maximums: $400,000 & $95,500
At Nevada Housing Division, our mission is to help make housing attainable for low to middle income homebuyers throughout the Silver State. That’s why our home price maximums and income maximums are so homebuyer-friendly.
Oh, and did we mention that HIP can be used on manufactured homes, too? (Guess we just did.)
3. Down payment or closing costs – your choice
HIP was designed to help people who can afford a monthly mortgage payment, but may face challenges when it comes to securing money for a down payment and closing costs. While most HIP homebuyers use the thousands in bonus money for a down payment, some choose to apply the money toward closing costs. Our friend Cassie is one such person.
What’s important is that all who qualify take advantage of HIP’s bonus money, and use it where you see fit.
4. But wait, there’s more!
Getting thousands in bonus money is amazing all by itself. But if you’re a first-time homebuyer or qualified veteran, you could also qualify for the Mortgage Credit Certificate (MCC) and save about $2,000 per year during tax time. Not even kidding. Check out the MCC calculator to see what your savings could be over the life of a 30-year loan. Just a heads up: it may blow your mind.
5. This is for real.
Nevada Housing Division (NHD) has worked closely with partners at U.S. Bank Home Mortgage (servicer), eHousingPlus (online loan reservation administrator), Raymond James (investment banker) and more than 80 lender partners to structure a program unique to the needs of Nevada borrowers.
This public-private partnership allows us to offer HIP without using taxpayer dollars to help Nevadans realize homeownership. Since 2014, the program has helped close more than $1 billion in mortgages.
“Sign Me Up!”
That’s what people say after hearing the details of HIP. And after reading this, you can see why we say, to know HIP is to love HIP. Wondering how to get started? Find a HIP-qualified lender and HIP-qualified real estate pro. They’ll take good care of you throughout the homebuying process.