Pennsylvania First Time Home Buyer Programs | Closing Cost Estimate Calculators

Looking for first time home buyer programs in Pennsylvania?

If you're like most first time homebuyers, you want the lowest rate and a little closing cost assistance if possible. This page attempts to provide you with a snippet of information of the various mortgage programs and closing cost assistance programs available in PA. By no means is this page complete. If you discover a program or grant program not listed, kindly send me an E-mail so that your fellow Pennsylvanian's can benefit by your discovery.

The State of Pennsylvania has several programs for first time home buyers and non-first time homebuyers who purchase in "targeted" counties. The state also has it's own closing cost assistance program. Several Pennsylvania counties and cities offer either a homeownership program or provide grant money for closing costs and or down payment.

Did you know that many Pennsylvania banks have "in-house" mortgage programs? It's true. Most of these programs are income or area driven. Even Fannie Mae and Freddie Mac have programs to assist first time home buyers (i.e. My Community & Home Possible). So where do you start? Download the Mortgage Shopping Worksheet.pdf provided by the Federal Reserve. It's a nice loan comparison flyer. And while you're at it, download the Settlement Booklet.pdf. This booklet contains useful information on purchasing a home. You will find additional information on the PA Home Buyer Page. Good Luck!

Pennsylvania Housing Finance Agency - PHFA

The Pennsylvania Housing Finance Agency (PHFA) offers home purchase loans with low interest rates and fees that carry a fixed interest rate for 30 years. Eligible buyers may also qualify for a down payment and/or closing cost assistance loan. Additionally, Access Home Modification Program loans are available to buyers who need to modify the home they are purchasing to suit the living needs of a household member with a disability.

With PHFA's Purchase Improvement loan, you can make repairs to the home you are purchasing, as long as they are supported by the homes appraised value. Pennsylvania Housing Finance Agency Home Page. The PHFA mortgages may be underwritten as an FHA, VA or conventional (Fannie Mae/Freddie Mac) mortgage. Applications are taken by approved lenders. Here are the most popular first time home buyer programs available through PHFA:

PHFA Closing Cost & Down Payment Assistance Program

The Keystone Advantage Loan Program offers a 2nd mortgage financing to help with the closing costs connected with the purchase of a home. Eligible borrowers can receive a maximum of two percent (2%) of the sales price up to a maximum of $4,000 which is to be repaid monthly. This loan is amortized over a ten year term. Keystone Advantage can be used to pay for the down payment or closing costs in conjunction with the Keystone Home Loan or Keystone Government Loan programs and carries the same monthly interest rate as the first mortgage.

Here's a list of closing cost assistance programs available through non-profit organizations and Pennsylvania Counties: County and Local Assistance Programs

Pennsylvania County and City Mortgage Programs for First Time Home Buyers

Asset Limitation – At the time of application, the buyer’s liquid assets (cash) and real property shall not exceed $15,000 and at the time of settlement, the buyer’s liquid assets (cash) shall not exceed $5,000.

First-Time Home Buyer - The applicant must be a first-time home buyer, meaning the household has been renting a home and has not owned a home during the past three years, or is otherwise eligible as a single parent who is legally separated and has joint or full custody of one or more minor children. The applicant must also be a US Citizen and a resident of Centre County for one year.

Down Payment Assistance - The Centre County Housing Trust Fund will be used to assist the home buyer with down payment assistance. A maximum of $10,000, or 10% of the purchase price (whichever is less), will be provided. Note: The loan will be made payable when the house is resold, refinanced for more than the original purchase price, ceases to be a full-time, permanent residence of Borrower, or when the mortgage has been paid in full.

BANK PROGRAMS - ( CRA )

Home Buying Information

• Are you eligible for special financing? - First Time Home Buyer Programs
• Estimate your "ideal" mortgage payment - Debt to Income Calculator
• Here's a few comments to make you an informed home buyer - House Buying Tips
• Questions & answers on home buying - FAQ on Home Buying
• What are "closing costs" - PA Closing Costs Explanation
• What are points? - Mortgage Points
• What's a deed transfer tax & how much is it? - Explanation of PA Tax
• What's a Seller Assist? - Seller Assist