Liliana Lucas, a single mother of two, closed on her Chelmsford, MA townhouse in Orchard Woods after she applied for and received $7,500 in downpayment assistance from the American Dream Downpayment Initiative, funded by HUD and administered by the Merrimack Valley Housing Partnership. The closing ceremony included a presentation of a plant and an oversized ceremonial key to Ms. Lucas, who was smiling from ear to ear.

The American Dream Downpayment Initiative (ADDI) is a federal program that helps first-time low-income homebuyers with the largest hurdle to homeownership�downpayment and closing costs. To be eligible for this assistance, individuals must be first-time homebuyers and must have incomes not exceeding 80 percent of area median income. ADDI gives first-time homebuyers downpayment assistance grants up to $10,000 or five percent of the homes purchase price, whichever is greater.

"Many families are able to make monthly mortgage payments, which in many cases are lower than rental payments, but are not able to save enough for the downpayment and closing costs," said James Barnes, HUD's acting regional director. "With a little assistance, purchasing a home may be much easier than people think."

The ceremony was held in recognition of National Homeownership Month--a month-long educational outreach effort designed to provide important homebuying information and financial tools. To learn more about the American Dream Downpayment Assistance program, visit HUD's website at www.hud.gov/offices/cpd/affordablehousing/programs/home/addi/index.cfm.