$5,000 Grants for First-Time Military Buyers.
Active duty personnel, veterans, retired members of the military, and employees of the U.S. Department of Defense and the Department of Homeland Security are eligible to apply for up to $5,000 in down payment and closing costs in the purchase of a first home. The national nonprofit Pentagon Federal Credit Union Foundation is offering the assistance through its Dream Makers program and says the grants can be applied to a mortgage from any financial institution.
How Do I Qualify?
You’re eligible for a Dream Makers grant if:
- You’re Military (Active Duty, Reserve, National Guard or Veteran), a Department of Defense employee or a Department of Homeland Security employee.
- You’re a first-time home buyer, or you have not owned a home for the last three years, or you have lost your home through divorce or disaster.
- The gross household income, including allowances, that you use to qualify for your mortgage loan is:
· A maximum of $55,000 per year, or
· A maximum of 80% of your community’s median income based on your family size
What Steps Do I Take?
Decide the amount of money you will contribute to your mortgage financing.
- $500 is the minimum amount for you to contribute.
- Dream Makers will match that three-to-one, up to our maximum of $5000.
- Estimate the size of your mortgage loan. Decide if the money you contribute, plus the Dream Makers grant, will be at least 3% of mortgage amount. You must put 3% down to qualify for the grant.
Fill out Dream Makers application. You may apply when you start to think about purchasing a home: you don’t have to select a home and/or a mortgage company before you submit your application.
Attend a home-buying educational seminar in your area.
See upcoming seminars and locations on Dream Makers Program website.
Are There Any Restrictions?
1. You must own the home for five years from the time of purchase. If you sell before the five years are up, the grant must be repaid on a sliding scale.
2. If you sell your home because of a permanent change of station (PCS) or transfer by your government job before the five years are up, you do not have to repay the grant. If you are PCS’d or transferred and keep the home, you may rent it while you serve in your new duty station.
3. Your mortgage must be a 30-year, fixed-rate loan, maximum of 97% financed, i.e. you made a down payment of 3%.
4. The property must be a 1-4 family unit dwelling including townhomes and condominiums.
Dream Makers Contribution Charts
| Your Contribution | Foundation Grant | Total for Closing & Down Payment |
| $500 | $1,500 | $2,000 |
| $1,000 | $3,000 | $4,000 |
| $1,500 | $4,500 | $6,000 |
| $1,667 | $5,000 | $6,667 |
| $2,000 | $5,000 | $7,000 |
| $3,000 | $5,000 | $8,000 |
| $5,000 | $5,000 | $10.000 |
| $10.000 | $5,000 | $15,000 |
More info is at www.PentagonFoundation.org. Click on the “Dream Makers” link.
Call Bill Edge at 713-240-2949 to see Houston Homes in 24 hours or less.
Source: PenFed Foundation “because Military Heroes need heroes too”