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Home Ownership Month: Affordable Mortgage Options Available Statewide

veteran holding a toy house

This year’s National Home Ownership Month finds that while millennials make up the largest share of home buyers, low housing inventory and higher home prices are still keeping many out of the market. But help is available—the NC Housing Finance Agency, a self-supporting public agency, offers affordable mortgage options statewide to turn these would-be buyers into owners.

“Challenging market conditions can make home buying difficult for first-time buyers and those with lower incomes,” said Scott Farmer, executive director of the NC Housing Finance Agency. “Our Agency’s home buying products make home ownership affordable for qualified buyers who aren’t currently served by the market. Last year, we helped a record 8,550 North Carolinians buy homes by financing $1 billion in mortgage activity.”

The Agency’s NC Home Advantage Mortgage™ offers stable, fixed-rate FHA, USDA, VA or conventional loans and down payment assistance up to 5% of the loan amount for both move-up and first-time buyers. New in 2018 is the NC 1st Home Advantage Down Payment, which provides $8,000 in down payment help to qualified first-time buyers and military veterans. Repayment of both down payment options is required only if the buyer sells, refinances or transfers the home before year 15—the assistance is forgiven at a rate of 20% per year starting at the end of year 11.

The Agency also administers the NC Home Advantage Tax Credit, which saves up to $2,000 per year on federal taxes for first-time buyers and military veterans approved for a Mortgage Credit Certificate prior to their home purchase. This makes home ownership more affordable by freeing up more money to put toward the mortgage. Buyers can combine the NC Home Advantage Tax Credit with the 5% down payment assistance but not with the $8,000 assistance provided by the NC 1st Home Advantage Down Payment.

All Agency mortgage products are offered through participating lenders statewide. To find a local lender, learn eligibility requirements and access home buying resources such as mortgage calculators, videos and blogs, visit www.nchfa.com/home-buyers.

The North Carolina Housing Finance Agency, a self-supporting public agency, has financed 269,000 homes and apartments since its creation in 1973.

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